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Home prices in Miami climb slowly due to stock market volatility

AP

Home prices across South Florida continued to increase in December but at a slower pace than in months past, according to data released Tuesday.

The S&P/Case Shiller Home Price Indices, a closely watched barometer of the housing market, was up 7.1 percent in December 2015 compared to December 2014.

That increase was a percentage lower than the November numbers, meaning that home prices continued to increase but slightly more slowly. The softening in momentum was likely due to the overall slowdown in the global economy, said David M. Blitzer, managing director and chairman of the index committee at S&P Dow Jones Indices.

“Sparked by the stock market’s turmoil since the beginning of the year, some are concerned that the current economic expansion is aging quite rapidly,” he said in a statement.

Quicken Loans vice president Bill Banfield said that, as prices normalize across the country, the deceleration in prices is likely to continue.

“Prospective homebuyers are having trouble keeping up with price increases that outpace inflation and average wage growth,” he said.

Case-Shiller measures home prices across Miami-Dade, Broward and Palm Beach. According to the index, 10 other cities — San Francisco, Chicago and New York City among them — saw similarly waning increases compared to the previous month.

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