S&P CoreLogic Case-Shiller Index Up 3.9% in December

(Image courtesy of S&P Global)

The December S&P CoreLogic Case-Shiller Indices reported home prices were up 3.9% annually, a slight increase from 3.7% the previous month.

“It has been five years since the COVID-19 outbreak took hold of the global economy, sparking unprecedented volatility, massive fiscal and monetary stimulus, and a housing market that responded to national migratory changes in how we work and where we live,” says Brian D. Luke, Head of Commodities, Real & Digital Assets at S&P Dow Jones Indices. “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.”

The 10-City Composite had an annual increase of 5.1%, up from 5% in November. The 20-City Composite saw a year-over-year increase of 4.5%, up from 4.3% in November.

New York had the highest annual gain in the 20-City list, up 7.2%, in December. Chicago was No. 2, up by 6.6%, and Boston was No. 3, up by 6.3%.

Tampa, Fla., had the lowest annual return, falling 1.1%.  

The pre-seasonally adjusted U.S. National Indices saw a 0.1% drop month-over-month drop, the 10-City Composite saw a 0.04% drop month-over-month and the 20-City Composite registered a 0.1% drop.

However, seasonally adjusted, all three measures saw a 0.5% month-over-month increase.

“Pressure on home prices remains muted as many potential buyers and sellers decided to step away from home buying and selling activity going into the winter months. And while anticipation going into the spring home-buying season is building, there are no clear signs yet that buyers will rush in the same way they did during the last couple of years, particularly given the growing concerns around continued inflation and large-scale layoffs in some regions,” said CoreLogic Chief Economist Selma Hepp. “In addition, while new listings are trickling back in and more homes are available for-sale, homebuyers remain reluctant, which suggests that home price growth is likely to continue slowing in first half of the year.”