Tags: case | shiller | home | prices

Home Prices Rose by 3.1%, Most in Almost a Year Before Virus

Home Prices Rose by 3.1%, Most in Almost a Year Before Virus
(Dreamstime.com)
 

By    |   Tuesday, 31 March 2020 01:30 PM

U.S. home price growth was showing signs of acceleration in January, a sign of the solid demand that existed before the coronavirus outbreak caused millions of job losses and tossed the U.S. economy into a likely recession.

The S&P CoreLogic Case-Shiller 20-city home price index rose 3..1% in January from a year ago, the most in nearly a year and up from a 2.8% annual gain in December, according to a Tuesday report.

Lower mortgage rates and solid job gains had been fueling interest from would-be homebuyers, but the housing market is now in a moment of tumult as the virus-induced downturn has led to fears of missed mortgage payments.

Phoenix posted the strongest annual price growth at 6.9%, followed by Seattle and Tampa at 5.1%.

Key Insights

  • Mortgage rates, already near three-year lows, could decline further in conjunction with the latest drop in U.S. Treasury yields. Cheaper financing costs will likely underpin demand in a market constrained by lean inventory, leading to further home-price appreciation.
  • A separate gauge from the Federal Housing Finance Agency, which tracks repeat sales and derived from conforming loans, showed home prices climbed 0.6% in December from the previous month, the most since September, and were up 1.3% in the fourth quarter.
  • Prices in all 20 cities increased in the year through December, led by Phoenix; Charlotte, North Carolina and Tampa, Florida.
  • National U.S. home prices increased 3.8% in December from a year earlier, the strongest annual advance since February.

This report uses material from the AP and Bloomberg.

© 2021 Newsmax Finance. All rights reserved.


   
1Like our page
2Share
Economy
U.S. home price growth was showing signs of acceleration in January, a sign of the solid demand that existed before the coronavirus outbreak caused millions of job losses and tossed the U.S. economy into a likely recession.
case, shiller, home, prices
254
2020-30-31
Tuesday, 31 March 2020 01:30 PM
Newsmax Media, Inc.
 
Newsmax TV Live

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved