In a bit of good news for area home buyers, the median home price in metro Denver remained unchanged in June, which may be a signal that the real estate market in the Mile High City is hitting its
June Home Prices Rise At Slowest Pace In 10 Months
According to the Associated Press, U.S. home prices increased only modestly in June, largely due to strong sales and a limited supply of available properties. The Standard & Poor’s CoreLogic Case-Shiller 20-city home price index, which was released last week, increased 5.1 percent in June compared with a year ago.
That’s down from a 5.3 percent annual gain in May and is the slowest year-over-year pace since last August.
Home values are still soaring in the Northwest, but have slowed to more sustainable rates elsewhere.
In Northeastern cities such as New York and Washington, D.C., they are rising at roughly the rate of inflation, and in Boston, less than 5 percent.
Nationwide prices are increasing more quickly than incomes as buyers compete for the dwindling supply of available homes. That reflects an ongoing imbalance in the housing market that could stifle sales in the coming months.
The National Association Realtors said the number of homes for sale has fallen 5.8 percent from a year ago, leaving would-be buyers with fewer choices. Additionally, purchases of existing homes fell 3.2 percent that month to a seasonally adjusted annual rate of 5.39 million. Still, that decline came after sales reached their highest level in more than nine years in June.
Low mortgage rates are pushing in the other direction by making home purchases more affordable. The average rate on a 30-year fixed mortgage was 3.43 percent last week, according to Freddie Mac, which is not far from its record low