Economy
Home Prices Continue to Rise Says S&P/Case Shiller
Written by Sandy Williams
January 30, 2014
The S&P/Case-Shiller Home Price Indices showed continued growth in a report released this week. The November 2013, 10-City and 20-City composites increased by 13.8 percent and 13.7 percent year-over-year, respectively.
The month-to-month indices decline 1.0 percent in November, the first decrease since November 2012. Nine out of 20 cities in the survey recorded positive returns, all of which were in Sunbelt regions except for Boston and Cleveland.
David Blitzer, Chairman of the Index Committee at S&P Dow Jones Indices, said the one percent November decline was not indicative of a slide since “prices typically weaken as we move closer to winter.” Overall, “November was a good month for home prices,” he said.
“Home prices continue to rise despite last May’s jump in mortgage interest rates,” said Blitzer. “Mortgage applications for purchase were up in recent weeks confirming home builders’ optimism shown by the NAHB survey. Combined with low inflation—1.5% in 2013—home owners are enjoying real appreciation and rising equity values. While housing will make further contributions to the economy in 2014, the pace of price gains is likely to slow during the year.”
The nine cities showing annual growth were Boston, Chicago, Cleveland, Dallas, Las Vegas, Miami, New York, Tampa and Washington. Miami led the growth acceleration with an increase of 1.4 percent. The biggest decline was seen in Chicago which fell of 1.2 percent.
For more information on specific cities include in the composite indices, go to the press release here.
Sandy Williams
Read more from Sandy WilliamsLatest in Economy
ArcelorMittal plans wire-drawing closure in Hamilton, shifts production to Montreal
ArcelorMittal’s (AM) Hamilton location to be shuttered, wire production shifting to Montreal.
Beige Book finds growing economic, policy uncertainty
All districts reported "hesitancy and a cautious approach to business and household decisions,” according to the Beige Book.
ISM: Manufacturing continues to contract in May
May marks the third consecutive month US manufacturing activity declined, according to supply executives contributing to the Institute for Supply Management (ISM)’s latest report.
Chicago PMI decreases 4.1 points in May
The Chicago Business Barometer reports that decreases in new orders, order backlogs, and softer production pulled the index down by 4.1-points to 40.5, in May.
Architecture firms struggle through April
For the third month in a row, architecture firms reported a reduction in billings through April, according to the latest Architecture Billings Index release.