Details of the January 2015 US Case/Shiller house price index
- Prior 0.73%. Revised to 0.71%
- 4.47% vs 4.62% prior. Revised to 4.58%
- 20 city prices 0.87% vs 0.60% exp m/m. Prior 0.87%. revised to 0.91%
- 4.56% vs 4.60% exp y/y. Prior 4.46%. Revised to 4.44%
Certainly no signs of bubbles overall. Denver and Miami led the way with respective gains of 8.4% and 8.3% y/y. 14 cities reported gains in the year to Jan 2015
Chairman of the index David M Blitzer does have a warning over prices and interest rates;
"Despite price gains, the housing market faces some difficulties. Home prices are rising roughly twice as fast as wages, putting pressure on potential homebuyers and heightening the risk that any uptick in interest rates could be a major setback. Moreover, the new home sector is weak; residential construction is still below its pre-crisis peak. Any time before 2008 that housing starts were as low as the current rate of one million, the economy was in a recession."
