House prices have been on the rise for the past six months, with the latest data showing a 0.9 percent seasonally adjusted increase in July. This is the sixth straight month of rising prices.
Year-over-year, house prices have risen 0.1 percent, after dropping 1.2 percent in July of last year. The 20-city housing price index, which is the gold standard for home price barometers, has risen 0.9 percent compared to a year ago, while the broader national index has risen 0.6 percent. Compared to a month ago, prices have increased by one percent, after being flat for the previous month.
The 10-city index, as well as the national index, also reached new highs in July. After peaking in June 2022 and declining through January 2023, home prices decreased by a whopping 5.0% over the seven-month period. However, the upturn that started in January has now reversed the earlier decline, meaning that July marks a new high for the national composite.
The recovery in home prices has been broad-based. As in July 2022, all 20 cities in the sample reached all-time highs. However, in July, all 20 cities experienced price increases after seasonal adjustments (and 19 of them before).
All three indexes rose a robust 0.6 percent in July, with the Midwest region recording the largest home-price increase.