San Diego Home Price Increases Among Highest Nationwide
Home values in San Diego rose 0.5 percent between August and September, and 8.2 percent from September of last year, according to the Standard & Poor's CoreLogic Case-Shiller Indices released Tuesday.
The increases were among the highest in the U.S. during each time period.
The indices were created by taking the price of housing in 20 major real estate markets in January 2000, assigning them a value of 100 and tracking their subsequent rise and fall.
In September, San Diego stood at 246.66, representing well over a doubling of real estate values in nearly 18 years. The local rise over that time has been the second-fastest among the 20 metropolitan areas studied for the indices, behind Los Angeles and barely edging out San Francisco.
Nationally, the 20-city index stood at 203.5 in September, up 0.4 percent for the month and 6.2 percent for the year.
David Blitzer, managing director and chairman of the Index Committee at S&P Dow Jones Indices, said the national index is going up faster than any time since June 2014.
"Most economic indicators suggest that home prices can see further gains," Blitzer said.
"Rental rates and home prices are climbing, the rent-to-buy ratio remains stable, the average rate on a 30-year mortgage is still under 4 percent, and at a 3.8-month supply, the inventory of homes for sale is still low," he said. "The overall economy is growing with the unemployment rate at 4.1 percent, inflation at 2 percent and wages rising at 3 percent or more."
He acknowledged that the continuing increase in pricing is making it more difficult for prospective buyers, calling it a "dark cloud" with some people being squeezed out of the market.