Photo: Getty Images
Tampa, FL - Two Florida cities topped the list of cities with the highest year-over-year increases in home prices in the United States from December of 2021 to December of 2022.
According to a report by the S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index, the Miami area had a 15.9 percent year-over-year increase and Tampa had a 13.9 percent increase, making them the top two cities for home-price increases in the United States, despite the cooling of the housing market.
The report suggests that home prices may continue to weaken due to mortgage financing and a potential economic recession.
In a statement, Craig J. Lazzara, Managing Director at S&P DJI, warns that the housing market may continue to weaken due to stable or higher interest rates, economic weakness, and the possibility of a recession, while only Miami and Tampa were reported to have had an increase in home prices in December 2022.
Lazzara says "the prospect of stable, or higher, interest rates means that mortgage financing remains a headwind for home prices, while economic weakness, including the possibility of a recession, may also constrain potential buyers. Given these prospects for a challenging macroeconomic environment, home prices may well continue to weaken."
Miami and Tampa were the only Florida markets in S&P's report.