The S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index, covering all nine US census divisions, reported a 19.8% annual gain in February, up from 19.1% in the previous month.
The 10-City Composite annual increase came in at 18.6%, up from 17.3% the previous month. The 20-City Composite posted a 20.2% year-over-year gain, up from 18.9% in the previous month.
Phoenix, Tampa, and Miami reported the highest year-over-year gains with year-over-year price increases of 32.9%, 32.6%, and 29.7%, respectively.
All 20 cities in the 20-City Composite reported higher price increases for the year ending February 2022 versus the year ending January 2022.
Measured from its 2006 peak, the 10-City Composite is up 36.3%, the 20-City Composite is up by 43.5%, and the National Index is up 55.3% from its July 2006 peak.
No surprise then that the Fed decided to raise interest rates in early May by 0.50%, taking the range to 0.75%-1.00%.
Dan Boardman-Weston, CEO at BRI Wealth Management, said of the rate hike: “Higher interest rates were expected by the market as inflation continues to hit multi-decade highs and the Fed feels it needs to act quickly before high inflation expectations become entrenched.”
