Aug. 25 (UPI) — Home prices in the United States are more than 4% higher, on average, than they were last summer, the S&P CoreLogic Case-Shiller Index said Tuesday.
The index, which covers all nine U.S. census divisions, reported a year-to-year growth of 4.3% in June.
The June figure follows a slight growth in prices (1.4%) in May. Experts say the gains may be a small recovery from the COVID-19 setback in home sales in March and April.
The index’s 10-city composite showed a yearly increase of 2.8% in June, a slight decline from the previous month, and the 20-city composite showed a 3.5% gain.
Excluding Detroit, because of reporting delays, the index showed that Phoenix (9%), Seattle (6.5%) and Tampa, Fla., (5.9%) posted the greatest gains.
“Housing prices were stable in June,” Craig Lazzara, managing director of S&P Dow Jones Indices, said in a statement. “More data will be required to understand whether the market resumes its previous path of accelerating prices, continues to decelerate, or remains stable.
“That said, it’s important to bear in mind that deceleration is quite different from an environment in which prices actually fall.”
Mortgage rates hit their eighth record low this month, but affordability is still down compared to the first quarter. Higher home prices typically negate low mortgage rates when combined with high demand and housing shortages.
Existing home sales in the United States increased by 25% in July, the largest-ever single month gain.