Home prices continued to trend upwards in November as the benchmark national index rose for the 22nd consecutive month to a new all-time high. The seasonally adjusted home prices for the national index saw a 0.4% increase MoM, and a 3.8% increase YoY. After adjusting for inflation, the MoM fell to 0.2% and YoY fell to -1.1%.
The S&P Case-Shiller benchmark 20-City composite aims to measure the value of residential real estate in the following 20 major U.S. cities: Atlanta, Boston, Charlotte, Chicago, Cleveland, Dallas, Denver, Detroit, Las Vegas, Los Angeles, Miami, Minneapolis, New York, Phoenix, Portland, San Diego, San Francisco, Seattle, Tampa, and Washington D.C. The benchmark 20-city index rose for the 22nd consecutive month to a new all-time high in November. The seasonally adjusted home prices for the 20-city index saw a 0.4% MoM, and a 4.4% increase YoY. After adjusting for inflation, the MoM was reduced to 0.2% and YoY was reduced to -.0.5%.
The S&P Case-Shiller benchmark 10-City composite, a subset of the 20-city index, aims to measure the change in value of residential real estate in the following 10 major U.S. cities: Boston, Chicago, Denver, Las Vegas, Los Angeles, Miami, New York, San Diego, San Francisco, and Washington D.C. The benchmark 10-city index rose for the 22nd consecutive month to a new all-time high in November. The seasonally adjusted home prices for the 10-city index saw a 0.4% MoM, and a 5.0% increase YoY. After adjusting for inflation, the MoM dropped to 0.2% and YoY dropped to 0.1%.
Here is the analysis from today's Standard & Poor's press release:
ANALYSIS
“With the exception of pockets of above-trend performance, national home prices are trending below historical averages,” says Brian D. Luke, CFA, Head of Commodities, Real & Digital Assets. “Markets in New York, Washington, D.C., and Chicago are well above norms, with New York leading the way. Unsurprisingly, the Northeast was the fastest growing region, averaging a 6.1% annual gain. However, markets out west and in once red-hot Florida are trending well below average growth. Tampa’s decline is the first annual drop for any market in over a year. Returns for the Tampa market and entire Southern region rank in the bottom quartile of historical annual gains, with data going back to 1988.
“Despite below-trend growth, our National Index hit its 18th consecutive all-time high on a seasonally adjusted basis,” Luke continued. “Again, with the exception of Tampa, all markets rose monthly with seasonal adjustment. With New York leading the nation for the seventh consecutive month and U.S. banks reporting strong Q4 earnings, this could set the Big Apple up as we close out the year.”
