Home prices continued to improve in January, according to an S&P/Case-Shiller Home Price Index report (link opens a PDF) released today. The report looks at single-family home prices around the nation to create two indices (10-city and 20-city composites).
According to the most recent numbers, average home prices increased by a seasonally adjusted 1% in January for both the index's 10-city and 20-city composites. This met analyst expectations for the 20-city composite (no estimate available for the 10-city group) and continued the index's upward trajectory after a seasonally adjusted 0.9% bump in December.
In more long-term news, year-over-year improvements for January hit new post-recession records. The 10-city composite increased 7.3% over the past 12 months, while the 20-city composite jumped up 8.3%. All 20 cities have posted gains, with Phoenix (+23.2%) leading the rally and New York bringing up the rear (+0.6%).
S&P Chairman of the Index Committee David Blitzer noted that although the market has made significant strides, there are still improvements to be made:
Economic data continues to support the housing recovery. Single-family home building permits and housing starts posted double-digit year-over-year increases in February 2013. Despite a slight uptick in foreclosure filings, numbers are still down 25% year-over-year. Steady employment and low borrowing rates pushed inventories down to their lowest post-recession levels.
This latest report affirms Federal Housing Finance Agency findings issued last week on home prices.