Home Prices Continue Growth in December

The 20-City Case-Shiller Composite Index increased 5.7 percent year-over-year in December, the same as November’s gain. The 10-City Composite index increased 5.1 percent from the previous year, down from a 5.2 percent gain in the previous month. The National Index, which covers all nine census divisions increased by 5.4 percent annually, compared to a 5.2 percent November gain.

On a seasonally adjusted monthly basis, the National Index and 20-City Composites posted gains of 0.8 percent, while the 10-City Composite increased 0.7 percent.

“While home prices continue to rise, the pace is slowing a bit,” said David M. Blitzer, Managing Director and Chairman of the Index Committee at S&P Dow Jones Indices. “Seasonally adjusted, Miami had lower price [gains]this month than last and 10 other cities saw smaller increases than last month. Even with some moderation, home prices in all but one city are rising faster than the 2.2 percent year-over-year increase in the CPI core rate of inflation.”

Home prices fell in eight of the twenty cities covered by the index, but increased in 12 others. Chicago and Minneapolis saw home prices fall 0.4 percent on the month, while cities including Tampa and San Diego saw strong growth (0.9 percent and 0.7 percent respectively).

Read the S&P release.