Home prices hit 30-year high in June – RISMedia |

0

Single-family home prices have risen again as the summer market kicked off in June, according to the most recent S&P CoreLogic / Case-Shiller Indices.

For the third month in a row, home prices grew at a record high, rising 18.6% in June, up from 16.8% in May. Experts note that this is the highest reading in over 30 years of S&P CoreLogic Case-Shiller data.

All 20 cities saw higher annual price increases, with 10-City Composite increasing 18.5%, while 20-City Composite increasing 19.1%.

Phoenix, San Diego and Seattle marked their 25th month as the top three markets with the highest gains, recording increases of 29.3%, 27.1% and 25.0%, respectively.

Complete data for the 20 markets measured by S&P:

Atlanta, Georgia.
June / May: 2.5%
Year over year: 16.5%

Boston, Mass.
June / May: 1.3%
Year over year: 18.6%

Charlotte, North Carolina
June / May: 2.6%
Year over year: 19.0%

Chicago, Illinois.
June / May: 1.9%
Year over year: 13.3%

Cleveland, Ohio
June / May: 1.7%
Year over year: 15.4%

Dallas, Texas
June / May: 3.0%
Year over year: 21.3%

Denver, Colorado.
June / May: 2.4%
Year over year: 19.6%

Detroit, Michigan.
June / May: 2.3%
Year over year: 16.3%

Las Vegas, Nevada
June / May: 3.4%
Year over year: 19.8%

Los Angeles, California
June / May: 1.9%
Year over year: 18.7%

Miami, Florida
June / May: 3.0%
Year over year: 20.1%

Minneapolis, Minnesota.
June / May: 1.8%
Over the year: 13.8%

New York, New York State
June / May: 0.8%
Year over year: 16.7%

Phoenix, Arizona.
June / May: 3.6%
Year over year: 29.3%

Portland, Ore.
June / May: 2.2%
Year over year: 19.2%

San diego, california
June / May: 2.6%
Year over year: 27.1%

San Francisco, California
June / May: 2.6%
Year over year: 21.9%

Seattle, Washington.
June / May: 1.5%
Year over year: 25.0%

Tampa, Florida
June / May: 3.0%
Year over year: 21.5%

Washington DC
June / May: 1.7%
Year over year: 16.1%

What the industry is saying:

“The past few months have been extraordinary not only for the level of price gains, but also for the consistency of gains across the country. In June, all 20 cities rose, and all 20 earned more in the 12 months ended June than they earned in the 12 months ended May. Home prices in 19 of our 20 cities, all but Chicago, are now hitting all-time highs, as are the National Composite and the 10 and 20 city indexes.

“June’s 18.6% price gain for the National Composite is the highest result in over 30 years of S&P CoreLogic Case-Shiller data. This month, Boston joined Charlotte, Cleveland, Dallas, Denver and Seattle in posting their highest ever 12-month earnings. Price increases in all 20 cities were in the top quartile of historical performance; in 19 cities, the price increases were in the top decile.

“We previously suggested that the strength of the US real estate market was due in part to the response to the COVID pandemic, as potential buyers move from city apartments to suburban homes. The data for June are consistent with this assumption. This surge in demand may simply represent an acceleration in purchases that would have occurred in the next few years anyway. Alternatively, there may have been a secular shift in location preferences, leading to a permanent shift in the housing demand curve. It will take more time and data to analyze this question. – Craig J. Lazzara, Managing Director and Global Head of Index Investment Strategy at S&P Dow Jones Indices

“Today’s S&P Case Shiller Index highlights a hot summer housing market, where buyers braced themselves with cash for down payments and low-interest loans made competing offers for a declining supply of homes available for sale and resulted in further record price growth. In July, mortgage rates fell 20 basis points, giving buyers an additional edge when looking for their first or next home.

“The rise in prices during the summer months reflects a combination of peak demand and larger homes for sale, as families with school-aged children vied for a place in the new school year. In a notable change, July also saw real estate markets welcome a larger influx of new listings as homeowners across the country decided to move forward with sale plans delayed by the pandemic. Based on weekly data from realtor.com®, increased inventory has already dampened the sharp price increases seen in the first six months of this year, indicating that the overheated pace of appreciation is behind us.

“For first-time home buyers, the latest housing trends promise more housing options, less competition and more affordable home prices in the second half of 2021. With financing costs still at levels Historically low, the fall and winter months could provide a respite for many buyers who may be tired from this year’s intense competition. – George Ratiu, Senior Economist, realtor.com®

Jordan Grice is the Associate Content Editor of RISMedia. Send him your real estate news by email at [email protected].


Source link

Leave A Reply

Your email address will not be published.