The strong gains in home prices of the previous two years are cooling down, according to a closely watched gauge released Tuesday, and many economists say that’s a good thing for potential home buyers who are struggling to break into the market.
The Standard & Poor’s/Case-Shiller index showed that prices of previously owned, single family homes rose 0.2 percent nationally in the first quarter from the previous quarter on a non-seasonally-adjusted basis, and 10.3 percent year-over-year.
Many economists say the change is good for potential home buyers struggling to break into the market.
The gauge broke out prices for the nation’s 20 major metropolitan areas in March and found that home values rose in every region except New York, where prices fell 0.3 percent month-over-month. The San Francisco area posted the largest gain at 2.4 percent, followed by Seattle at 1.9 percent. The Washington region, where prices climbed 1.2 percent, ranked much lower on the list and tied with Los Angeles and Dallas.