From the WSJ:
Home prices in 2014 saw yearly growth slow to the weakest pace in three years, according to a home price report released Tuesday.
The home price index covering the entire nation rose 4.6% in the 12 months ended in December, said the S&P/Case-Shiller Home Price Index report. That is down slightly from 4.7% in November and is the weakest full-year gain since home prices were falling in 2011.
Narrower measures of home prices also showed a small acceleration in December but full-year growth still was the lowest since 2011.
The home price index covering 10 major U.S. cities increased 4.3% in the year ended in December from a 4.2% rise in November. The 20-city price index was up 4.5%. That is above the 4.3% advance posted in November and equal to the 4.5% expected by economists surveyed by The Wall Street Journal.
The report said average home prices in the 10 and 20 cities covered are back to levels last seen in autumn 2004, but are still down between 16% and 17% from their peaks set in mid-2006.
“The housing recovery is faltering. While prices and sales of existing homes are close to normal, construction and new home sales remain weak,” said David M. Blitzer, chairman of the Index Committee at S&P Dow Jones Indices. “The softness in housing is despite favorable conditions elsewhere in the economy: strong job growth, a declining unemployment rate, continued low interest rates and positive consumer confidence.”
Regionally, San Francisco and Miami saw the strongest 12-month increases while Chicago saw an average home price increase of just 1.3%.