S&P Case-Shiller Home Prices Unchanged
MBA NewsLink Staff
The S&P CoreLogic Case-Shiller Indices report for July showed the rate of home price increases across the U.S. continues to slow. The National Home Price NSA Index reported a 3.2% annual gain in July, unchanged from June.
The report said the 10-City Composite annual increase fell to 1.6% in July, down from 1.9% in June . The 20-City Composite posted a 2.0% year-over-year gain, down from 2.2% in June.
Phoenix, Las Vegas and Charlotte reported the highest year-over-year gains among the 20 cities. In July, Phoenix led with a 5.8% year-over-year price increase, followed by Las Vegas at 4.7% and Charlotte at 4.6%. Seven of the 20 cities reported greater price increases in the year ending July 2019 versus the year ending June 2019.
The report said before seasonal adjustment, the National Index posted a month-over-month increase of 0.4% in July. The 10-City Composite remained flat and the 20-City Composite reported a 0.1% increase. After seasonal adjustment, the National Index posted an 0.1% month-over-month increase in July. The 10-City Composite posted an 0.1% decrease and the 20-City Composite did not report any gains. In July, 15 of 20 cities reported increases both before and after seasonal adjustment.
"Year-over-year home prices continued to gain, but at ever more modest rates," said Philip Murphy, Managing Director and Global Head of Index Governance with S&P Dow Jones Indices. "Home price gains remained positive in low single digits in most cities, and other fundamentals indicate renewed housing demand."
"The geographic flip-flop of home price growth has cemented itself strongly across the country," said Ralph B. McLaughlin, deputy chief economist and executive of research and insights for CoreLogic. "Pacific markets are now making up a majority of housing markets with the lowest price growth, while second-tier markets in the South and Midwest continue to lead the country. This is a result of years of unprecedented yet unsustainable growth along the West Coast combined with stubbornly solid economic growth that is benefitting areas initially left out of the recovery from the Great Recession."
The report said as of July, average home prices for metros within the 10-City and 20-City Composites are back to their winter 2007 levels.