New Haven is one of just six of the nation’s 100 largest metro areas in which home prices did not rise in May according to data provider CoreLogic. The CorelLogic report also states that despite an 8.8 percent rise in home prices compared with 12 months earlier, among the other 94 metro areas named, the pace of gains has slowed as more homes have come onto the market.
On a month-to-month basis, home prices rose 1.2 percent from April to May, mostly in western states, including California Hawaii and Nevada.
In mid 2013, home sales nationwide began to stall after higher mortgage rates and double-digit price increases and made real estate less affordable for many people. But sales improved last month due to lower mortgage rates and moderated price gains.
According to the National Association of Realtors, sales of existing homes climbed 4.9 percent in May to a seasonally adjusted annual rate of 4.89 million homes. Still, sales are down 5 percent year-over-year. Additionally, Realtors forecast that sales of existing homes will dip 2.8 percent this year to 4.95 million, compared with 5.1 million in 2013. Economists predict that sluggish sales will slow annual price gains this year to roughly 5 or 6 percent.
According to CoreLogic, prices rose in every state in the 12 months ending in May with the highest gains in Hawaii (13.2 percent;) California (13.1 percent;) Nevada, (12.6 percent;) Michigan (11.8 percent; )New York (11 percent;) Georgia (10.3 percent) and Oregon (10.1 percent.)
In addition to New Haven, the five that did not record an increase are Hartford, Connecticut, Worcester, Massachusetts; Little Rock, Arkansas; Rochester, New York; and Winston-Salem, North Carolina.
Average home prices have risen nationwide for the past 27 months. Ten states that have exceeded their previous peaks include: Alaska, Colorado, Iowa, Louisiana, Nebraska, New York, North Dakota, South Dakota, Oklahoma and Texas.
To find out more about home sales in New Haven County, contact Carbutti & Co., Realtors.