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The S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index, covering all nine U.S. census divisions, reported a 5.8% annual gain in June, up from 5.7% the previous month. The 10-City Composite posted a 4.9% annual increase, down from 5.0% the previous month. The 20-City Composite reported a 5.7% year-over-year gain, the same as the previous month.
Seattle, Portland, and Dallas reported the highest year-over-year gains among the 20 cities. In June, Seattle led the way with a 13.4% year-over-year price increase, followed by Portland with 8.2%, and Dallas with a 7.7% increase. Nine cities reported greater price increases in the year ending June 2017 versus the year ending May 2017.
Once again, the Case-Shiller 20 Metro home price index is rising over twice as fast (2x) as wage growth for the majority of the US population.
Where are home prices rising the most on a YoY basis? Seattle is the only top 20 city growing at more than 10% YoY. In last place is Washington DC. On a MoM basis, Detroit is the leader!
This gives a new meaning to the expression “Take him to Detroit!”
You have to wonder how much of home price growth is related to The Federal Reserve and its Chair Janet Yellen whipping up prices while wage growth remains less than half.