Latest Index Finds Home Prices On The Rise
The S&P Case-Shiller Home Price Indices isn't the only index tracking home-price activity, but it's among the most closely followed. And, according to their most recent release, prices are rising. In fact, they were up 8.4 percent year-over-year at the end of October.
Craig J. Lazzara, managing director and global head of index investment strategy at S&P Dow Jones Indices, says prices were increasing pre-COVID and have only accelerated since then.
“We've noted before that a trend of accelerating increases in the National Composite Index began in August 2019 but was interrupted in May and June, as COVID-related restrictions produced modestly-decelerating price gains,” Lazzara said.
“Since June, our monthly readings have shown accelerating growth in home prices, and October's results emphatically emphasize that trend.” The last time home prices increased this quickly was more than six years ago.
However, though recent increases have been significant, they're mostly due to a lack of homes available for sale this fall. As spring approaches, and more homes are listed for sale, price spikes should begin to moderate.