CoreLogic will release its latest Case Shiller Home Price Index (HPI) on Tuesday, June 25, hoping to improve on March’s increase of 3.7%. [1]
March’s increase was a slight dip from February’s 3.9% growth. The HPI’s 20-City Composite posted a 2.7% year-over-year gain, down from 3.0% the previous month.
Las Vegas, Nevada, Phoenix, Arizona, and Tampa, Florida, had the highest year-over-year gains of the 20 cities. Las Vegas led the nation in May with an 8.2% increase from 2018.
“Home price gains continue to slow,” says David M. Blitzer, Managing Director and Chairman of the Index Committee at S&P Dow Jones Indices. “The patterns seen in the last year or more continue: year over year price gains in most cities are consistently shrinking. Double-digit annual gains have vanished.”
Dr. Ralph McLaughlin, Deputy Chief Economist and Executive of Research and Insights at CoreLogic [2], noted what the latest HPI’s data means for the housing market.
“The U.S. housing market moderation has now lasted a year, driven by considerable slowing in the nation’s most expensive markets,” McLaughlin stated. “While the slowdown is most pronounced in these areas, all of the 20-city markets are slowing, suggesting the cooldown has broken from its confines in the West. However, with the 10-year treasury falling, we can expect mortgage rates to continue to decline this spring. This should help to take the cold edge off what has otherwise been a market slow to thaw from the winter months.”
Redfin reported last week [3]that home-sale price increased 3.6% from 2018 to an average price of $315,700—the largest annual price increase in seven months.
Just six of the 85 largest metro’s tracked by Redfin saw year-over-year declines in their median sale price. San Jose, California’s 6% drop was the biggest in the nation, and was followed by New York, New York (-2.5%), and Honolulu, Hawaii (-2.2%).
Here's what else is happening in The Week Ahead:
FHFA House Price Index (June 25)
Census Bureau New Residential Sales survey (June 25) [4]
NAR Pending Home Sales Index (June 27)