Case-Shiller Home Price Index Marks “Strongest National Growth Rate Since 2022”

In a recent report, S&P Dow Jones Indices (S&P DJI) unveiled the latest findings from the S&P CoreLogic Case-Shiller Indices, offering a comprehensive snapshot of U.S. home prices for October 2023.

It found that, despite an increase in mortgage rates, October saw the ninth consecutive month for home price gains. 

Let’s dive into the key details from the report. 

Year-Over-Year Home Price Growth

The S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index reported a 4.8% annual change in October 2023. This marks an uptick from the 4% change observed in the previous month.

City Highlights

Detroit led the pack as the fastest-growing market with an 8.1% annual gain, followed closely by San Diego at 7.2% and New York at 7.1%. Portland, however, reported a 0.6% decrease, remaining the sole city with lower prices compared to the previous year.

Here’s a complete summary of one-year changes from the October 2023 S&P CoreLogic Case-Shiller Indices:

• Atlanta: 5.3% annual gain
• Boston: 6.6% annual gain
• Charlotte: 6.0% annual gain
• Chicago: 6.9% annual gain
• Cleveland: 6.4% annual gain
• Dallas: 1.2% annual gain
• Denver: 1.6% annual gain
• Detroit: 8.1% annual gain
• Las Vegas: 0.1% annual gain
• Los Angeles: 6.1% annual gain
• Miami: 6.7% annual gain
• Minneapolis: 2.8% annual gain
• New York: 7.1% annual gain
• Phoenix: 0.9% annual gain
• Portland: -0.6% annual decline
• San Diego: 7.2% annual gain
• San Francisco: 1.6% annual gain
• Seattle: 1.5% annual gain
• Tampa: 2.3% annual gain
• Washington: 4.7% annual gain
• 10-City Composite: 5.7% annual gain
• 20-City Composite: 4.9% annual gain
• U.S. National: 4.8% annual gain

Month-Over-Month Home Price Trends

Before seasonal adjustment, the U.S. National Index and 10-City Composite both saw a 0.2% month-over-month increase in October, while the 20-City Composite posted a 0.1% increase. After seasonal adjustment, all three indices showed a more substantial 0.6% month-over-month increase.

Notably, 11 out of 20 major metro markets experienced month-over-month price increases:

• Atlanta (0.2%)
• Boston (0.3%)
• Charlotte (0.3%)
• Chicago (0.2%)
• Cleveland (0.2%)
• Detroit (0.3%)
• Las Vegas (0.3%)
• Los Angeles (0.4%)
• Miami (0.6%)
• New York (0.5%)
• Phoenix (0.6%)

Brian D. Luke, Head of Commodities, Real & Digital Assets at S&P DJI, commented on the findings, stating,

“U.S. home prices accelerated at their fastest annual rate of the year in October. Our National Composite rose by 0.2% in October, marking nine consecutive monthly gains and the strongest national growth rate since 2022.”

Brian D. Luke

Head of Commodities, Real & Digital Assets

Mortgage Rates Impact

The report acknowledges the influence of the highest mortgage rates recorded in this market cycle on home prices. However, with mortgage rates easing and the Federal Reserve indicating at least three rate cuts in 2024, “homeowners may be poised to see more appreciation,” Luke noted. 

For more in-depth data, you can access the complete report here.