The S&P Cotality Case-Shiller U.S. National Home Price NSA Index had a 1.5% annual gain in August, down from a 1.6% increase in July, reported the S&P Dow Jones Indices.
"This marks the weakest annual gain in over two years and falls well below the 3% inflation rate," said Nicholas Godec, Head of Fixed Income Tradables & Commodities at S&P Dow Jones Indices. "For the fourth straight month, home values have lost ground to inflation, meaning homeowners are seeing their real wealth decline even as nominal prices inch higher."
The 20-City Composite gained 1.6% annually and the 10-City rose 2.1%, which S&P said was continued deceleration from earlier in the year.
New York led all metros with a 6.1% annual gain, followed by Chicago at 5.9% and Cleveland at 4.7%, while Tampa fell 3.3% year over year, Phoenix dropped 1.7%, and Miami declined 1.7%. In the West, San Francisco fell 1.5%, Denver dropped 0.7%, San Diego declined 0.7% and Seattle fell -0.1%.
S&P reported that 19 of 20 metros had month-to-month price declines before seasonal adjustment, with only Chicago posting an increase—something the S&P Dow Jones Indices said signaled "broad weakness beyond typical seasonal patterns."
The full report can be viewed here.
