A shortage of homes last year that has carried over to 2018 is continuing to drive prices higher. The S&P CoreLogic Case-Shiller National Home Price Index climbed 6.2 percent in the 12-month period ending in November. The index, which evaluates home prices nationwide, has climbed five percent or more for the last 16 consecutive months.
Seattle (12.7 percent), Las Vegas (10.6 percent) and San Francisco (9.1 percent) led the nation with the largest month-over-month increases. San Diego posted a slight drop of 0.3 percent compared to the prior month.
Home prices have grown 49 percent since March 2012 and are currently 6.1 percent above the peak reached in July 2006. With the current growth trends, home prices are climbing at a rate three-times greater than inflation.
Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 4.25 percent while 15-year rates are near 3.625 percent.
Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.