S&P/Case-Shiller: Home prices on the rise
Posted on Tuesday, October 29, 2013 at 9:53:36 AM
Many major metropolitan markets across the U.S. are seeing a rise in home prices, according to the recent S&P/Case-Shiller Home Price Indices.
The report highlights a growing trend, with rising value, equity and prices sweeping the country. This can be a good thing for many with residential financing, as higher prices could make refinancing or selling an easier proposition.
In August, home prices increased 1.3 percent for both the S&P/Case-Shiller 10- and 20-city composites. These indices represent large housing markets throughout the U.S. The greatest gain occurred in Las Vegas, at 2.9 percent.
However, fluctuating residential financing rates might have slowed the growth trend recently, according to David Blitzer, chairman of the Index Committee at S&P Dow Jones Indices.
"The monthly percentage changes for the 20-City composite show the peak rate of gain in home prices was last April," said Blitzer. "Since then home prices continued to rise, but at a slower pace each month. This month 16 cities reported smaller gains in August compared to July. Recent increases in mortgage rates and fewer mortgage applications are two factors in these shifts."
In addition, Lender Processing Services' Home Price Index supported the S&P/Case-Shiller report. LPS data showed that the HPI, a measure of prices across more than 18,500 zip codes, increased 0.4 percent to $231,000 for September. Nevada saw the biggest monthly change, up 1.4 percent.