Home prices had a 2.0% annual gain in February, according to the latest S&P CoreLogic Case-Shiller Indices. The gain was down from a 3.7% annual increase recorded in January.
The 10-City Composite annual increase was 0.4%, down from 2.5% in January. The 20-City Composite year-over-year gain was also 0.4%, down from 2.6%.
Craig Lazzara of S&P said the home price results pre-date disruptions in the commercial banking industry that began in early March.
“Although forecasts are mixed, so far the Federal Reserve seems focused on its inflation reduction targets, which suggests that interest rates may remain elevated, at least in the near-term,” Lazzara said in a statement. “Mortgage financing and the prospect of economic weakness are therefore likely to remain a headwind for housing prices for at least the next several months.”
Miami, Tampa and Atlanta reported the highest year-over-year home price gains among the 20 cities in February, rising 10.8%, 7.7% and 6.6%, respectively.
