It was a busy morning for data on home prices with the releases of the June readings for S&P/CoreLogic Case-Shiller and the FHFA’s home price indices. Both indices essentially told the same story for home prices: still growing, but at the slowest rate in years. The S&P/CoreLogic reading was expected to show home prices grew by +3.30% YoY compared to +3.43% last month. Results were even weaker with home prices slowing to +3.13% for June while the May release was revised down to +3.35%. This marks the slowest growth since September of 2012 when home prices grew +3.0% YoY. For this index, June marked the 15th consecutive month of declines in the YoY growth rate. That has surpassed a 14-month long streak ending February 2015 and is now the longest since a 41-month long streak that came to a close in February of 2009 when prices were falling over 12% YoY.
The monthly FHFA Home Price index came in at 4.7% YoY which was lower than the prior reading for May of 5.2%. While it is not part of any dramatic streak like the S&P/CoreLogic index, this was the lowest growth rate since early 2015. One important thing to note, though, is that these two home price readings did not take into account all of the effects of the most recent plunge in rates or the Fed’s July rate cut because they’re on a two-month lag. Start a two-week free trial to Bespoke Premium for more in-depth equity market and economic research.