Home Prices Grow at Record-High Pace for Fourth-Straight Month

Source: S&P DJI

US home prices grew at a record-high pace for the fourth-straight month in July, according to data released by the S&P Dow Jones Indices. XHB is down 1.29%.

• The S&P CoreLogic Case-Shiller US National Home Price NSA Index climbed by 19.7%, up from 18.7% the month earlier.
• The 10-Cut Composite annual increase stood at 19.1% from 18.5% a year ago, while the 20-City Composite climbed 19.9% from 19.1%.
• The biggest increases were recorded in Phoenix, with an annual gain of 32.4%. This was followed by San Diego with 27.8% and Seattle with 25.5%.
• Out of the 20 cities, 17 reported higher price increases in the year ending July versus the same period ending June.
• S&P DJI Managing Director Craig Lazzara said the surge in demand might indicate an acceleration of purchases which would have happened nonetheless in the next few years.
• Lazzara said there might also be a change in locational preferences, driving a permanent shift in the demand curve for housing.