Sunday , December 5 2021
Home / Calculated Risk / Case-Shiller: National House Price Index increased 19.8% year-over-year in August

Case-Shiller: National House Price Index increased 19.8% year-over-year in August

Summary:
S&P/Case-Shiller released the monthly Home Price Indices for August ("August" is a 3 month average of June, July and August prices).This release includes prices for 20 individual cities, two composite indices (for 10 cities and 20 cities) and the monthly National index.From S&P: Annual Home Price Gains Remained High in August According To S&P Corelogic Case-Shiller IndexThe S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index, covering all nine U.S. census divisions, reported a 19.8% annual gain in August, remaining the same as the previous month. The 10- City Composite annual increase came in at 18.6%, down from 19.2% in the previous month. The 20- City Composite posted a 19.7% year-over-year gain, down from 20.0% in the previous month. Phoenix, San Diego, and Tampa reported

Topics:
Calculated Risk considers the following as important:

This could be interesting, too:

Tyler Durden writes Goldman Senior Executives Are Searching For Ways To Quietly Boost Their Own Pay

Tyler Durden writes Shellenberger: The Real Threat To Banks Isn’t From Climate Change, It’s From Bankers

Tyler Durden writes Biden Infrastructure Bill Includes Passive Monitoring Vehicle “Kill Switch” Mandates For Automakers

Tyler Durden writes Obituary For Russiagate

S&P/Case-Shiller released the monthly Home Price Indices for August ("August" is a 3 month average of June, July and August prices).

This release includes prices for 20 individual cities, two composite indices (for 10 cities and 20 cities) and the monthly National index.

From S&P: Annual Home Price Gains Remained High in August According To S&P Corelogic Case-Shiller Index
The S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index, covering all nine U.S. census divisions, reported a 19.8% annual gain in August, remaining the same as the previous month. The 10- City Composite annual increase came in at 18.6%, down from 19.2% in the previous month. The 20- City Composite posted a 19.7% year-over-year gain, down from 20.0% in the previous month.

Phoenix, San Diego, and Tampa reported the highest year-over-year gains among the 20 cities in August. Phoenix led the way with a 33.3% year-over-year price increase, followed by San Diego with a 26.2% increase and Tampa with a 25.9% increase. Eight of the 20 cities reported higher price increases in the year ending August 2021 versus the year ending July 2021.
...
Before seasonal adjustment, the U.S. National Index posted a 1.2% month-over-month increase in August, while the 10-City and 20-City Composites both posted increases of 0.8% and 0.9%, respectively.

After seasonal adjustment, the U.S. National Index posted a month-over-month increase of 1.4%, and the 10-City and 20-City Composites both posted increases of 0.9% and 1.2%, respectively. In August, all 20 cities reported increases before and after seasonal adjustments.

“The U.S. housing market showed continuing strength in August 2021,” says Craig J. Lazzara, Managing Director and Global Head of Index Investment Strategy at S&P DJI. Every one of our city and composite indices stands at its all-time high, and year-over-year price growth continues to be very strong, although moderating somewhat from last month’s levels.

“In August 2021, the National Composite Index rose 19.84% from year-ago levels, marginally ahead of July’s 19.75% increase. This slowing acceleration was also evident in our 10- and 20-City Composites, which rose 18.6% and 19.7% respectively, modestly less than their rates of gain in July. Price gains were once again broadly distributed, as all 20 cities rose, although in most cases at a slower rate than had been the case a month ago.

“We have previously suggested that the strength in the U.S. housing market is being driven in part by a reaction to the COVID pandemic, as potential buyers move from urban apartments to suburban homes. More data will be required to understand whether this demand surge represents an acceleration of purchases that would have occurred anyway over the next several years, or reflects a secular change in locational preferences. August’s data are consistent with either explanation. August data also suggest that the growth in housing prices, while still very strong, may be beginning to decelerate.
emphasis added
Case-Shiller: National House Price Index increased 19.8% year-over-year in August Click on graph for larger image.

The first graph shows the nominal seasonally adjusted Composite 10, Composite 20 and National indices (the Composite 20 was started in January 2000).

The Composite 10 index is up 0.9% in August (SA).

The Composite 20 index is up 1.2% (SA) in August.

The National index is 45% above the bubble peak (SA), and up 1.4% (SA) in August.  The National index is up 96% from the post-bubble low set in February 2012 (SA).

Case-Shiller: National House Price Index increased 19.8% year-over-year in August The second graph shows the year-over-year change in all three indices.

The Composite 10 SA is up 18.6% compared to July 2020.  The Composite 20 SA is up 19.7% year-over-year.

The National index SA is up 19.8% year-over-year.

Price increases were slightly below expectations.  I'll have more later.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.