Economist's Insights

Home Prices Rose at the Fastest Pace Since the Summer of 2014 According to S&P

Nov 28, 2017

The S&P Case-Shiller Home Price Index showed home prices within some of the largest U.S. metro areas rose 0.52% in September which lifted the YoY rate to 6.19%, the fastest pace since July 2014. More broadly, prices rose by a slightly smaller 6.15% nationally in September compared to the August pace of 5.95%. In the FHFA’s home price report, prices were up 6.4% from September of last year, a slower pace than was seen over the previous seven months. Nonetheless, the trend continues to show steadily increasing home valuations over the last several years. While actual housing activity has been mixed over the last 12 months and affordability continues to be the primary concern for the industry, the continued price appreciation did not appear to significantly impact sales over the last couple of months. Both existing and new home sales were better than expected in September and October.