Home price growth has decelerated to its lowest point in 14 months according to the latest data from the Case-Shiller U.S. National Home Price NSA Index.
- Y-O-Y: In October, the annual home price increase was recorded at 3.6%, a decrease from September’s 3.9% and marking the slowest growth since August 2023..
- M-O-M: Despite the annual growth rate tapering, monthly gains have continued, with a 0.3% increase for the third consecutive month in October.
Beat The Street: The 20-city composite index, which tracks home price changes across major U.S. cities, showed a year-over-year increase of 4.2%. This figure was slightly better than economists’ expectations, who had forecasted a 4.1% rise.
What They’re Saying: Brian D. Luke, CFA, Head of Commodities, Real & Digital Assets, commented on the ongoing strength of the housing market “The National Index hit its 17th consecutive all-time high, and only two markets – Tampa and Cleveland – fell during the past month.”
- Luke also highlighted the performance of specific markets, noting, “Two markets have dominated the top ranks with New York leading all markets the past six months and San Diego the six months prior. New York is the only market sitting at all-time highs and one of just three markets with gains on the month.”
Bottom Line: Home price growth will continue to slow as buyers and sellers adjust to the new normal for mortgage rates.
