Broward County home prices keep climbing, but a new report says the county will see a slight drop in the next year.The CoreLogic research firm projects Broward prices to slip 2.6 percent from the first quarter of 2013 to the first quarter of 2014. Over the same period, prices would rise 0.6 percent in Palm Beach County and 6.5 percent across the nation, according to the report.
Irvine, Calif.-based CoreLogic says the market will cool as more homes are listed for sale and rising mortgage rates hurt affordability.
But Jack McCabe, a Deerfield Beach-based housing consultant, said the prediction for Broward is “off target.”
He and other analysts expect recent home price growth to slow down, but not decline. Home values traditionally appreciate at 3 to 4 percent a year, though South Florida’s median prices have increased by more than 20 percent in recent months as investors rush to buy a shrinking supply of homes.
“Homeowners, I think, will continue to see values increase over the next 12 months, but don’t expect these sky-high rates,” McCabe said.
Mike Larson, an analyst with Weiss Research in Jupiter, said it’s possible prices could flatten or dip in the next year.
“But it’s not something I would be entirely concerned about,” Larson said. “We’re not looking at a new crash.”