ome prices in the U.S. hiked to their highest level in more than two years in December, posting a 5.8 percent annual gain, according to the recently released S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index. Their pace, though substantial, is not “not alarming,” says David M. Blitzer, S&P Dow Jones Index Committee chairman and managing director.
“Home prices continue to advance, with the national average rising faster than at any time in the last two-and-a-half years,” Blitzer says. “With all 20 cities seeing prices rise over the last year, questions about whether this is a normal housing market or if prices could be heading for a fall are natural. In comparing current home price movements to history, it is necessary to adjust for inflation. Consumer prices are higher today than 20 or 30 years ago, while the inflation rate is lower. Looking at real or inflation-adjusted home prices based on the S&P CoreLogic Case-Shiller National Index and the Consumer Price Index, the annual increase in home prices is currently 3.8 percent. Since 1975, the average pace is 1.3 percent; about two-thirds of the time, the rate is between -4 percent and +7 percent. Home prices are rising, but the speed is not alarming.”
Home price growth in December was led by activity in Denver, Portland and Seattle, with annual gains of 8.9 percent, 10 percent and 10.8 percent, respectively. Prices for higher tier homes in Portland (more than $411,335) and Seattle (more than $532,716-plus) have been “stable” in the past five years, while prices for lower tier homes in Portland (less than $296,361) and Seattle (less than $335,111) have been “volatile”—movement that, according to Blitzer, signifies normality in the market.
Source: RIS Media
Ed and Celia Maddox
The Celtic Connection Team
Solutions Real Estate
Edward Maddox, Associate Broker, MRE, GRI, ABR
The Celtic Connection Realty Team - We Take the High Road
Solutions Real Estate - Multi-Million Dollar Producers 2004-2016
Direct: 480-987-9322 Cell: 480-612-7968 Fax: 800-410-9607
To search for homes go to our web sites:
http://www.QueenCreekRealEstateSolution.com (includes San Tan Valley)
http://www.JohnsonRanchRealEstateExpert.com
http://www.FlorenceRealEstateExpert.com
http://www.MerrillRanchRealEstateExpert.com
Contact us to set up search for any other areas of Phoenix AZ
Ed and Celia Maddox
The Celtic Connection Team
Solutions Real Estate
Edward Maddox, Associate Broker, MRE, GRI, ABR
The Celtic Connection Realty Team - We Take the High Road
Solutions Real Estate - Multi-Million Dollar Producers 2004-2016
Direct: 480-987-9322 Cell: 480-612-7968 Fax: 800-410-9607
To search for homes go to our web sites:
http://www.QueenCreekRealEstateSolution.com (includes San Tan Valley)
http://www.JohnsonRanchRealEstateExpert.com
http://www.FlorenceRealEstateExpert.com
http://www.MerrillRanchRealEstateExpert.com
Contact us to set up search for any other areas of Phoenix AZ
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