Home prices in the US increase at the slowest rate since 2023
With few eager shoppers in the hunt, sellers are warming up to discounts and other concessions in parts of the country where listings have piled up
[BOSTON] Home-price growth in the US slowed for a fifth straight month in June.
A national gauge of prices rose 1.9 per cent from a year earlier, according to data from S&P CoreLogic Case-Shiller. That was the smallest gain since the summer of 2023 and followed a 2.3 per cent increase in May.
The US is coming off its weakest spring selling season in 13 years after high prices and mortgage rates sidelined many would-be buyers.
With few eager shoppers in the hunt, sellers are warming up to discounts and other concessions in parts of the country where listings have piled up. While that has contributed to a nationwide easing of price growth, some areas – such as New York – are still fiercely competitive.
June’s results “mark the continuation of a decisive shift in the housing market”, said Nicholas Godec, the head of fixed income tradables and commodities at S&P Dow Jones Indices.
“The modest 1.9 per cent annual gain masks significant volatility, with the first half of the period showing declining prices that were more than offset by a 2.5 per cent surge in the most recent six months, suggesting the housing market experienced a meaningful inflection point around the start of 2025.”
Among 20 major cities, New York still “stands as a stark outlier”, Godec said, leading the index with a 7 per cent annual gain in prices. Following were Chicago, with a 6.1 per cent increase, and Cleveland, at 4.5 per cent.
Prices, meanwhile, are falling in former pandemic-era “darlings” such Phoenix, Tampa and Dallas, he said. Tampa’s 2.4 per cent year-over-year decline was the biggest in the index. BLOOMBERG
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