Key points:

• S&P CoreLogic Case-Shiller Index shows U.S. home prices hit record highs in March 2024.
• The Federal Housing Finance Agency stated that from the first quarter of 2023 to the first quarter of 2024, housing prices in the United States increased by 6.6%.
• San Diego leads with an annual housing price increase of 11.1%, while Denver has the smallest increase of 2.1%.

S&P CoreLogic Case-Shiller Index reached a historic high

The S&P CoreLogic Case-Shiller index in March 2024 showed that US housing prices hit a historic high. According to data from the S&P DJI, housing prices in all major cities have seen a month on month increase.

Year-on-year growth

The S&P CoreLogic Case-Shiller National Housing Index (NSA) recorded an annual growth of 6.5% in March, unchanged from the previous month. The 10 city composite index rose by 8.2%, slightly higher than the previous 8.1%, while the 20 city composite index rose by 7.4%, higher than the previous 7.3%. Among the 20 cities, San Diego has the highest annual growth rate, reaching 11.1%, followed by New York's 9.2% and Cleveland's 8.8%. Denver has the lowest annual growth rate, only 2.1%.

Quarterly and annual data

The Federal Housing Finance Agency (FHFA) report shows that US housing prices rose 6.6% between the first quarter of 2023 and the first quarter of 2024. Compared to the fourth quarter of 2023, housing prices have increased by 1.1%. The seasonally adjusted monthly index shows that housing prices in March increased by 0.1% compared to February.

Dr. Anju Vajja, Deputy Director of Research and Statistics at FHFA, stated that despite mortgage interest rates hovering around 7%, low inventory still supports the rise in housing prices.

Trends in various states and cities

Since 2012, housing prices in the United States have been rising every quarter. Over the past year, housing prices have increased in all 50 states. Vermont has the highest increase in housing prices, reaching 12.8%, followed by New Jersey's 11.6%, New York's 10.9%, Delaware's 10.7%, and Wisconsin's 9.9%. Washington D.C. is the only region where housing prices have declined, dropping by 1.5%.

Among the top 100 metropolitan areas, 97 regions have seen an increase in housing prices. The annual growth rate in the Allentown Bethlehem East region is the highest, reaching 16.0%, while housing prices in the city of Honolulu have decreased by 3.2%.

Regional performance

House prices in all nine census districts of the United States have seen year-on-year increases. The growth rate in the Central Atlantic region was the highest at 9.9%, while the growth rate in the Southwest Central region was the smallest at only 3.7%.

Report Summary

Given the sustained low inventory and stable demand, the US housing market is expected to remain optimistic. Despite high mortgage interest rates, housing prices are expected to continue to rise in the short term due to strong buyer interest and limited supply.