Home Price Gains Begin to Lose Steam

NEW YORK CITY-The S&P/Case-Shiller Home Price Indices finished their best year since 2005 on a downward note. S&P Dow Jones Indices said Tuesday that the indices for this past December show that gains in home prices have begun to lose momentum.

Notwithstanding the strong showing home prices made throughout 2013, “gains are slowing from month-to-month and the strongest part of the recovery in home values may be over,” says David M. Blitzer, who chairs the index committee at S&P Dow Jones Indices. “Year-over-year values for the two monthly composites”—10-city and 20-city—”weakened and the quarterly National Index barely improved. The seasonally adjusted data also exhibit some softness and loss of momentum.”