Economy

US Housing Market Shows Resilience: S&P/Case-Shiller Reports 2.3% Price Increase in May

US House Prices on the Rise

In a recent update from S&P CoreLogic/Case-Shiller, the United States housing market has shown a notable increase, with house prices climbing by 2.3% year-over-year in May. This growth highlights the market's resilience amidst fluctuating economic conditions.

Regional Variations Highlight Market Diversity

The report further details regional disparities, with the 10-City Composite index surging by 3.4% and the 20-City Composite by 2.8% compared to May 2024. New York emerged as a standout, experiencing a significant 7.4% rise, whereas Tampa faced a downturn, with prices dropping by 2.4%.

Expert Insights on Market Dynamics

Nicholas Godec, head of Fixed Income Tradables & Commodities at S&P Dow Jones Indices, commented on the findings, "Seasonal momentum is proving weaker than usual, and the slowdown is now more than just a story of higher mortgage rates. It reflects a market recalibrating around tighter financial conditions, subdued transaction volumes, and increasingly local dynamics. With affordability still stretched and inventory constrained, national home prices are holding steady, but barely."