June data shows nominal home price growth despite elevated mortgage rates near 6.5%, slowing real-term declines.
The S&P CoreLogic Case-Shiller 20-City Composite Home Price Index rose 2.1% in June from a year earlier, exceeding the national index’s 1.5% gain. Stabilizing mortgage rates around 6.5% during the peak buying season supported nominal price growth, though high financing costs continued to pressure affordability.
Annual gains were led by Chicago at 6.9%, followed by New York and Cleveland with increases of 4.8% and 4.1%, respectively. Seattle and Las Vegas saw declines of 2% and 1.9%, highlighting regional disparities. The prior month’s 20-city index had posted a 1.7% annual rise.
Despite nominal growth, real home prices fell as inflation moderated. Current homeowners remained reluctant to sell, preserving low mortgage rates secured in previous years. The market’s stability followed a rapid rise in rates earlier in the spring.