US Home Price Acceleration Slowed Very Modestly In September

According to the latest data from Case-Shiller indices, home prices in America’s 20 largest cities soared at 19.05% YoY in September (from +19.65% YoY in August) – but notably this is the second straight month that the home price surge has decelerated…

Source: Bloomberg

This is still well above the previous peak growth in 2004.

And on a national scale, Case-Shiller’s National Home Price Index rose 19.51% YoY in September – a smidge slower than the all-time record high from August at +19.79% YoY…

Source: Bloomberg

“If I had to choose only one word to describe September 2021’s housing price data, the word would be ‘deceleration,’” Craig J. Lazzara, global head of index investment strategy at S&P Dow Jones Indices, said in statement.

“Housing prices continued to show remarkable strength in September, though the pace of price increases declined slightly.”

Phoenix, Tampa, Miami reported highest year-over-year gains among 20 cities surveyed

Finally, the question for Jay Powell is – explain how this is “transitory”?

“The forces that have propelled home price growth to new highs over the past year remain in place and are offering little evidence of abating,” Matthew Speakman, and economist at Zillow Group Inc., said in a statement.

“The number of available homes for sale remains historically small, particularly given the elevated demand for housing.”

Maybe somebody will ask him today during the CARES Act hearings?