Yesterday, S&P Dow Jones Indices released the latest results for the S&P/Case-Shiller Home Prices Indices. The index tracks home prices nationwide and in 20 major cities.
There are two composites conducted; 10-City and 20-City. Both of the composites saw year-over-year declines in October compared to September. The S&P/Case-Shiller U.S. National Home Price Index, which covers all nine U.S. census divisions, recorded prices grew 4.6% in October 2014 compared to October 2013. Although this is the slowest paced price growth since September 2012, many economists say it is healthier for buyers and sellers than the aggressive growth (double-digit) growth last year at this time.
From September to October housing prices scantily climbed to 0.7% (after adjustments). The results from the 20-City composite reveal that San Francisco and Tampa, Fla were the strongest gains, and Chicago and Cleveland were the weakest gains. Even though the price gains have been gradually slowing since the beginning of 2014, David M. Blitzer, chairman of Index Committee at S&P Dow Jones Indices, noted that the October numbers could be a positive change in direction. “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,” stated Blitzer.
Stan Humphries, Zillow’s Chief Economist, commented on the report, “Housing definitely came back to earth over the second half of 2014, and we welcome and expect to see more of the same as we look ahead at 2015.” Humphries also stated, “A slower-moving housing market is inherently more stable, more balanced between buyers and sellers and more sustainable over the long-term. We’re ending 2014 on a good note, and this momentum will continue.”
If you are planning on moving or know of someone who is thinking about moving in 2015, then contact your local Homesale Agent for buyer/seller help. For more real estate information, please visit our Homesale website.