Home prices in the 20 biggest metropolitan areas in the U.S. slowed sharply as home-buying demand sagged in recent months.
The housing market has been stagnant over the last few years. High mortgage rates as well as surging homeowners insurance costs and property taxes have made ownership increasingly expensive. Home-buying demand remains weak, while housing inventory has been increasing steadily.
As supply outpaces buyer demand, home prices have taken a hit. The S&P CoreLogic Case-Shiller 20-city house price index fell 0.3% in June compared with the previous month.
Home prices in the 20 major U.S. metro markets were up 2.1% over the last 12 months.
But that’s a significant step down in home-price growth when compared with an increase of 2.8% the previous month. Economists surveyed by Dow Jones Newswires and the Wall Street Journal expected the 20-city index to rise by 2.3%.
