United States: Growth in home prices falls again in October, but slowdown shows signs of easing
December 30, 2014
In October, the unadjusted S&P/Case-Shiller 20-city home price composite index fell 0.1% over the previous month. The result matched the reading registered in the previous month but was just above market expectations of a 0.2% decrease.
On an annual basis, home prices rose 4.5% over the same month of the previous year, which was down from the 4.8% rise recorded in September and marked the weakest gain in two years. S&P emphasized that while housing prices continue to rise, the overall pace is slowing; annual price increases moderated in 12 of the 20 cities surveyed. Moreover, prices are 15.9% below the July 2006 peak.
However, according to S&P, “after a long period when home prices rose, but at a slower pace with each passing month, we are seeing hints that prices could end 2014 on a strong note and accelerate into 2015.”
Author: Carl Kelly, Economist