San Diego home prices declined for the second month in a row in November, but remained 8.0% higher than a year ago, according to the respected Case Shiller Index.
San Diego prices fell 0.5% in November after dipping 0.1% in October, but other markets were down more.
“U.S. home prices edged downward from their all-time high in November,” said Brian D. Luke, at S&P Dow Jones Indices. “The streak of nine monthly gains ended in November, setting the index back to levels last seen over the summer months.”
The report released Tuesday listed Detroit and San Diego as the two large markets with the highest year-over-year gains, noting that “barring a late surge from another market, those cities will vie for the ‘housing market of the year'” for 2023.
The top U.S. markets in November were a surprising mix from nearly all regions. Detroit led at 8.2% year over year, followed by San Diego at 8.0%, Cleveland and New York tied at 7.4%, Los Angeles and Miami tied at 7.2% and Boston at 7.1%.
Luke blamed the price declines on high mortgage rates, which peaked at around 8% for a 30-year-fixed loan.
“The rate has since fallen over 1%, which could support further annual gains in home prices,” he said.
