Home prices in San Diego slipped 0.1 percent between July and August, but were still up 6.2 percent from August of last year, according to the Standard & Poor’s Case-Shiller Home Price Indices released Tuesday.
San Diego’s annual increase in housing costs had been in double digits until recently. The August figure reflected a national slowdown in the real estate market.
The indices were created by taking the housing prices in 20 major real estate markets in January 2000, assigning them a value of 100, and tracking their subsequent rise and fall.
San Diego’s index in August stood at 203.7, reflecting a doubling in home values over 15 years. The rate of increase is the third highest in the United States, behind Los Angeles and Washington, D.C.
David Blitzer, chairman of the Index Committee at S&P Dow Jones Indices, said Sun Belt cities showed their worst annual returns in two years, including all three California metropolitan areas included in the report. Other measures of the housing industry showed stronger performances.
“September figures for housing starts, permits and sales of existing homes were all up,” Blitzer said. “New home sales and builders’ confidence were weaker. Continued labor market gains, low interest rates and slower increases in home prices should support further improvements in housing.”
The 20-city national index was 173.66 in August, up 0.2 percent from the month before and 5.6 percent from the year before. An index of the 10 largest cities was 188.58, up 0.2 percent for the month and 5.5 percent for the year.
—City News Service
