In October, home prices in Florida saw a nearly 1 percent increase compared to the same month last year, as revealed by a recent home price index. The cost of purchasing a house is anticipated to peak in early 2025 before beginning to slow down, according to the new CoreLogic Home Price Index analysis released on Tuesday.

On a national level, home prices grew by 3.4 percent from October 2023 to October 2024, but this growth is expected to decelerate to 2.4 percent by next year, the analysis indicates. CoreLogic, a global provider of property analytics and data solutions, noted that in Florida, home prices rose by 0.79 percent over the past year.

The Miami metropolitan housing market experienced a 6.2 percent year-over-year increase in home prices, while the Tampa area saw a 0.40 percent rise. In the Lakeland-Winter Haven metro area, prices increased by 0.26 percent year-over-year; Orlando’s prices grew by 1.85 percent; and the West Palm Beach-Boca Raton area observed a 1.64 percent increase.

Nationwide, home price growth slowed to just 0.02 percent from September to October this year. CoreLogic analysts commented that this stagnation highlights relatively flat home price growth since summer, with only minimal gains in certain regions.

Despite the slowing prices, forecasts suggest that real estate prices for single-family homes might peak in April 2025. Presently, the median sales price of all single-family homes nationwide stands at $385,000.

Certain markets saw strong growth, with Chicago surpassing Miami as the metro with the highest home price gains, at 6.4 percent and 6.2 percent, respectively. Meanwhile, New Jersey outpaced Rhode Island in annual home price growth, reporting an 8.1 percent increase compared to Rhode Island’s 7.5 percent uptick.

The Northeast has shown resilience to economic challenges, such as slower job growth, higher interest rates, and ongoing housing affordability issues, the report stated. New Jersey, Rhode Island, and New Hampshire — with respective year-over-year price gains of 8.1 percent, 7.5 percent, and 6.3 percent — secured three of the top five spots. Both Rhode Island and New Jersey reached new highs in home prices in October.

Conversely, Washington, D.C., Idaho, and Montana saw prices decline in October from their previous highs, by -3.5 percent, -2.5 percent, and -2.1 percent, respectively.

Even with the price drops, home prices in Washington, D.C., were still up 4.7 percent from the previous October. The only state to see a year-over-year home price decline was Hawaii.

CoreLogic’s Market Risk Indicator flagged several metros at risk of a market price decline, including Provo-Orem, Utah; Salt Lake City, Utah; Atlanta-Sandy Springs-Roswell, Georgia; Tucson, Arizona; and Palm Bay-Titusville-Melbourne, Florida.

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(Image credit: Feverpitched)