The S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index, covering all nine U.S. census divisions, reported a 5.5% annual gain in October, remaining the same from the previous month. The 10-City Composite annual increase came in at 4.7%, down from 4.9% in the previous month. The 20-City Composite posted a 5.0% year-over-year gain, down from 5.2% in the previous month.
Las Vegas, San Francisco and Phoenix reported the highest year-over-year gains among the 20 cities. In October, Las Vegas led the way with a 12.8% year-over-year price increase, followed by San Francisco with a 7.9% increase and Phoenix with a 7.7% increase. Six of the 20 cities reported greater price increases in the year ending October 2018 versus the year ending September 2018.
The spread between the Case-Shiller 20 metro YoY and the Case-Shiller 20+ (National) YoY is negative indicating that smaller metro areas are growing faster than just the 20 large metro areas.
The fact that I moved from Phoenix AZ to Washington DC doesn’t explain that DC is the slowest growing area in terms of home prices while Phoenix is the third fastest.
Are high home prices relative to income growth finally starting to sink in?