S&P Cotality Case-Shiller Index Reports 0.9% Annual Gain in January

Home price growth continues to cool, as the S&P Cotality Case-Shiller U.S. National Home Price Index reported a 0.9% annual gain in January, compared to a 1.1% (annualized) rise in the previous month.

S&P Dow Jones Indices released the January 2026 results for the S&P Cotality Case-Shiller Indices yesterday.

Nicholas Godec, head of fixed-income tradables & commodities at S&P Dow Jones Indices, noted house price levels remain elevated, but said the rate of appreciation has slowed materially.

“Splitting the year into two halves sharpens the picture,” Godec continued. “The National Index rose 2.2% over the first six months of the period, then fell 1.3% over the most recent six–a swing that explains why annual gains have compressed to under 1% despite prices remaining historically elevated.”

Inflation outpaced national home price appreciation for the eighth consecutive month, with the Consumer Price Index running 1.5 percentage points above the 0.9% annual gain.

Godec said the inflation comparison reinforces the trend. “CPI rose 2.4% over the year ended January 2026, 1.5 percentage points above the National Index’s 0.9% gain. In real terms, home values have declined modestly over the past year.”

The report said geographic divergence persists, with New York (+4.9%), Chicago (+4.6%) and Cleveland (+3.6%) leading all markets while Tampa extended its decline to -2.5% year over year.