April 25, 2017 – The 20-city S&P/Case-Shiller index is a measure of existing home values across 20 metropolitan areas throughout the U.S. Home values have a broad impact on the economy, including the housing and consumer sectors.
The 20-city Case-Shiller Index rose a seasonally adjusted 0.7% in February, slightly below expectations of a 0.8% increase and January’s 0.9% increase. Year-over-year, prices are now up 5.9% for the year ending in February, compared to 5.7% for the year ending in January. Cities in the West continue to lead the year-over-year gains, as Seattle and Portland are up 12.1% and 9.6%, respectively.
Home prices continue their upward March since August of last year as supply remains low and demand is high. The homeownership rate remains low by historical standards and as wages gain some traction, the demand for homeownership will continue to rise with it. Without an increase in construction and the supply of homes available to buy, we will continue to see prices accelerate.