U.S. home prices see first drop in a year: report | Chappaqua NY Real Estate

U.S. home prices ticked down 0.1% in November, the first decline in a year, with nine of 20 tracked cities posting price drops as winter approached, according to data released Tuesday. After seasonal adjustments, home prices in November rose 0.9%, according to S&P/Case-Shiller's 20-city composite index.

On a year-over-year basis, home prices rose 13.7% in November, the fastest growth in more than seven years. Pent-up demand and low inventories of homes for sale have been supporting price growth. Including November's results, prices remain about 20% below a 2006 peak, though certain cities, such as Dallas, have recently posted fresh record highs.

"Home prices continue to rise despite last May's jump in mortgage interest rates," said David Blitzer, index committee chairman at S&P Dow Jones Indices. "While housing will make further contributions to the economy in 2014, the pace of price gains is likely to slow during the year."




http://www.marketwatch.com/story/us-home-prices-see-first-drop-in-a-year-report-2014-01-28?siteid=yhoof2