The rise in San Diego home prices slowed again in May, with just a 0.6% increase compared to 2.3% in April and 3.7% in March, according to the authoritative Case-Shiller Index released Tuesday.
Despite the slowdown in recent months, local home prices are still 25.6% higher than a year ago — above the national average of 19.7%.
“Housing data for May 2022 continued strong, as price gains decelerated slightly from very high levels,” said Craig J. Lazzara, managing director at S&P Dow Jones Indices.
He cited the increasing cost of mortgage financing as a factor in the slowdown, and cautioned that “a more-challenging macroeconomic environment may not support extraordinary home price growth for much longer.”
In contrast to San Diego, monthly price gains remained above 2% in a number of cities, including Miami at 2.9%, Tampa at 2.8% and Dallas at 2.6%. The national average increase in May was 1.5% compared to 2.3% in April.
“Prices continued strongest in the South and Southeast, both of which recorded 30.7% gains year-over-year,” said Lazzara.