National home prices rose at a faster annual growth rate in September compared to the previous month. The Case-Shiller U.S. National Home Price Index, reported by S&P Dow Jones Indices, rose at a seasonally adjusted annual growth rate of 4.7% in September, following an increase of 4.3% in August.
Seattle reported the highest gain while three metro areas — San Francisco, Chicago and Boston — experienced home price declines in September.
On a year-over-year basis, the Case-Shiller U.S. National Home Price NSA Index posted a 3.2% annual gain in September, up from 3.1% in August. Lower mortgage rates and a solid labor market boost housing demand. Home price appreciation continues with strong demand and tight inventory.
Meanwhile, the Home Price Index, released by the Federal Housing Finance Agency (FHFA), rose at a seasonally adjusted annual rate of 7.7% in September, following a 2.5% increase in August. On a year-over-year basis, the FHFA Home Price NSA Index rose by 5.1% in September, after an increase of 4.8% in August.
NAHB economist Jing Fu shares more in a recent Eye on Economy post.