House prices in the 20 largest cities in the United States increased by 0.9% in July, compared to the previous month, according to data from the S&P Dow Jones Case Shiller index released this Tuesday.
The increase in prices is the result of a lack of homes for sale during the summer months.
The Case Shiller Index also shows that home prices in the top 20 US metropolitan markets rose slightly, 0.1% over the past 12 months, with Chicago, Cleveland and New York the cities with the largest increases. increase.
The release of housing price growth data coincided with a decline in American consumer expectations.
According to the Conference Board’s Consumer Confidence Index released on Tuesday, Americans’ expectations fell in September to 103.0 after standing at 108.7 in August.
This is the second consecutive month of decline in the index. According to Dana Peterson, the organization’s chief economist, “consumers remain concerned about the general increase in prices and especially for food and fuel.”
But that increase does not seem to attract many consumers who are looking for accommodation.
“Despite higher mortgage rates, which deterred some buyers and kept many current homeowners waiting, there are enough buyers to continue moving into the market,” explained the chief economist. of Zillow’s Orphe Divounguy in a statement.
“Builders realized the unmet need and responded by starting more projects. Sales of new homes increased this year while existing homes fell,” added the Zillow economist.
At the same time, and despite the increase in interest and the increase in debts, the delinquency rate did not grow and in June it stood at only 2.6% of the total, according to the latest data released by CoreLogic signature.
CoreLogic noted that the data for June 2023 compared to the same month in 2022 was almost identical.
Here we mean.
“Few states and metropolitan areas have seen annual increases in delinquencies since the start of the spring, indicating that employment conditions and mortgage performance are on a strong path for the rest of the 2023,” CoreLogic said on August 31.