Case Shiller Home Prices: Increase Modestly

January 26, 2016
Bottom Line: Home prices rose in November for the 4th consecutive month. Prices are now 33.6% above the cyclical nadir in January 2012. Over the past one year home price trends are still positive but the year over year growth is increasing at a slower pace. Case Shiller 20-City Home Price Index ROSE by 0.9% (seasonally adjusted) in November to 182.8, compared with market expectations for an increase of 0.8%. This was the index's 4th monthly increase after 3 consecutive monthly declines. The prior month was revised from 0.84% to 0.78%. Home prices are 5.8% ABOVE their year ago level. This was the 43rd consecutive year-over-year increase following 20 straight months of year-over-year declines. Nevertheless, nationwide home prices are still 11.6% BELOW their April 2006 peak, near March 2005 levels and 33.6% ABOVE their January 2012 trough. (On a non-seasonally adjusted basis, the home price index ROSE by 0.1% and is now 5.8% ABOVE their year earlier level.) Housing prices rose in all metropolitan areas in November (on a seasonally adjusted basis) and in all metropolitan areas on a year-over-year basis. Washington DC had the smallest year-over-year increase at 2.5% while San Francisco had the largest year-over-year increase at 12.3%.
Article by contingentmacro