Home prices in San Diego County are expected to increase by 8.3% over the next year, the largest such increase in the nation, according to a report released Tuesday by real estate analysts at CoreLogic.
Among a sampling of the largest metropolitan areas in the nation, single-family home prices in San Diego are projected to increase the most by November, "as low inventory continues to increase prices," according to the report.
Despite the expected increases locally, CoreLogic's report said home price growth will slow in most markets nationwide through November, due to lower buyer demand and more supply in the coming year.
The next highest price increase is projected for the Miami metropolitan area, at 3.3%. Other regions are projected to see declines in prices, such as Houston, which CoreLogic said was impacted by hurricanes and the collapse of the oil industry.
COVID-19 has also had an impact, though CoreLogic said pandemic relief could spur homebuyer demand.
"The housing market performed remarkably well in 2020 despite the volatile economic state," said Frank Martell, president and CEO of CoreLogic. "While we can expect to see lingering effects of COVID-19 resurgences and subsequent shutdowns in the early months of 2021, vaccine distributions and stimulus actions should revitalize economic activity and keep home purchase demand and home price growth strong."