Home price increases continue to slow, according to a national index released last week.
The S&P/Case-Shiller 20-city Home Price Index gained 4.9 percent in September, compared with a year earlier. That was down from 5.6 percent in August.
“The overall trend in home price increases continues to slow down,” David M. Blitzer, managing director and chairman of the Index Committee at S&P Dow Jones Indices, said in a news release last week.
The trend can be seen in many of Durango’s so-called “feeder” markets – cities such as Denver, Dallas and Phoenix, where many La Plata County homebuyers move from.
Denver grew 0.22 percent in the index, Dallas rose 0.26 percent and Phoenix fell 0.14 percent. Overall, the 20-city composite fell 0.03 percent.
Case-Shiller, a widely watched barometer of national real estate, uses sales of the same properties over time to measure home appreciation.
Durango home prices have grown in 2014. La Plata County homes sold for a median price of $336,200, up 9.2 percent, while in-town Durango homes sold for a median price of $390,000, up 5.7 percent. The data from the Durango Area Association of Realtors covers sales through September.
The real estate market in Texas has been broadly strong, buoyed by oil and natural gas industry activity.
The Colorado Front Range also has been strong. The average sold price for Denver metro homes in October was $323,750, up 1 percent from September and 7 percent from a year earlier, according to Metrolist data from Live Urban Real Estate, a Denver brokerage.
In October, Denver home sales were flat in October compared to September and were up 3 percent year-to-year.
Mortgage rates remain low. A 30-year fixed rate mortgage had a 3.875 percent interest rate at First National Bank of Durango on Wednesday. Wells Fargo’s fixed rate was an even 4 percent.
Still, the housing market has shown mixed signals this year. The National Association of Realtors’ pending home sale index fell 1.1 percent in October. It remains above year-ago levels.
“Demand is holding steady but would be more robust if it weren’t for lagging wage growth and tight credit conditions that continue to hamper those individuals looking for relief from rising rents,” Lawrence Yun, the Realtors’ chief economist, said in a news release.
Nationally, the median price of existing homes, for all housing types, in October was $208,300, which was a 5.5 percent increase from a year ago. Monthly median price growth has averaged 5.8 percent in 2014 after averaging 11.5 percent last year.
“The increase in median prices for existing-homes has leveled off, representing a healthier pace that has kept affordability in check for buyers in many parts of the country while giving more previously stuck homeowners with little or no equity the ability to sell,” Yun said.
cslothower@durangoherald.com
