Home prices increased in April for a third consecutive month, data released on Tuesday showed. This signals that the housing market is on the path to recovery.
The S&P CoreLogic Case-Shiller US National Home price index increased by 0.5% in April on a seasonally adjusted basis. The index that tracked the 20 largest U.S. metros showed that prices in these areas rose 0.9% in April compared to the previous month, thereby beating the expected 0.35% as stipulated by economists surveyed by Bloomberg.
“The U.S. housing market continued to strengthen in April 2023,” Craig J. Lazzara, managing director at S&P DJI commented. “Home prices peaked in June 2022, declined until January 2023, and then began to recover.”
Around the same time, the Federal Housing Finance Agency reported that average US home prices grew 0.7% month over month in April on a seasonally adjusted basis, thereby corroborating what the S&P index claimed.
Miami, Chicago, and Atlanta were the cities with the largest price increases, gaining 5.2%, 4.1%, and 3.5%, respectively. Seattle and San Francisco were on the other end of the equation, with price drops of 12.4% and 11.1% respectively.