February home price gains were still on the upswing but will soon start to show the impact of the coronavirus pandemic, according to the latest S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index.
Prices rose 4.2 percent from January, up from 3.9 percent gains the month before. A 10-city composite of the country’s largest cities saw 2.9 percent annual gains while the 20-city composite experienced 3.5 percent gains year-over-year.
“Importantly, today’s report covers real estate transactions closed during the month of February, and shows no signs of any adverse effect from the governmental suppression of economic activity in response to the COVID-19 pandemic,” said Craig Lazzara, managing director and global head of index Investment strategy at S&P Dow Jones Indices. “As much of the U.S. economy was shuttered in March, next month’s data may begin to reflect the impact of these policies on the housing market.”
Regionally, Phoenix remained at the top of the cities with the highest annual gains for the ninth month in a row with 7.5 percent growth. Seattle, Tampa and San Diego all boasted annual gains of 6 and 5.2 percent for the last two cities, respectively.
The S&P/Case-Shiller U.S. National Home Price Index is a monthly composite of single-family home price indices across nine U.S. Census divisions. They are calculated using estimates of the aggregate value of single-family housing stock for the time period in question.
“At a regional level, Phoenix retains the top spot for the ninth consecutive month, with a gain of 7.5 percent for February,” Lazzara said. “Home prices in Seattle rose by 6.0 percent, with Tampa and Charlotte prices both gaining 5.2 percent. Prices were particularly strong in the West and Southeast, and comparatively weak in the Midwest and Northeast.”