The S&P CoreLogic Case-Shiller US National Home Price NSA Index recorded a 3.9% annual return for December, up from a 3.7% annual gain in the previous month. December’s upswing marked a 19th consecutive all-time high for the index.
The 10-City Composite saw an annual increase of 5.1%, up from a 5% annual increase in the previous month, while the 20-City Composite posted a year-over-year increase of 4.5%, up from a 4.3% increase in the previous month.
The pre-seasonally adjusted US National and 20-City Composite Indices’ upward trends continued their reversals with both posting a -0.1% drop while the 10-City Composite’s monthly return dropped 0.04%. After the seasonal adjustment, the US National, 10-City, and 20-City Composite Indices all posted a month-over-month increase of 0.5%.
New York City again reported the highest annual gain among the 20 cities with a 7.2% increase in December, followed by Chicago and Boston with annual increases of 6.6% and 6.3%, respectively. Tampa posted the lowest return with a 1.1% decline.
Brian D. Luke, head of commodities, real and digital assets at S&P Dow Jones Indices, observed, “National home prices have risen by 8.8% annually since 2020, led by markets in Florida, North Carolina, Southern California, and Arizona. While our National Index continues to trend above inflation, we are a few years removed from peak home price appreciation of 18.9% observed in 2021 and are seeing below-trend growth over the history of the index.”
Luke added, “Home prices stalled during the second half of the year with markets in the West dropping the fastest. San Francisco, the worst performing market since 2020, dropped 4.5% during the last six months of the year, followed by Seattle with a 3.0% decline. San Francisco is now 11.0% lower than its post-pandemic peak reached in May 2022. Previous strongholds like San Diego and Tampa experienced declines of 2.9% and 2.7%, respectively, during the second half of the year. After accounting for seasonal adjustments, our National Index pushed forward to achieve a 19th consecutive all-time high. The longest such streak occurred for over 12-years, notching 153 consecutive all-time highs from July 1993 to March 2006.”
