-- US home price growth decelerated annually in February, with more than half of major metropolitan markets logging decreases, S&P Global (SPGI) division S&P Dow Jones Indices said Tuesday.
The national S&P Cotality Case-Shiller Index rose 0.7% year over year in February without seasonal adjustments, down from a 0.8% increase the month prior. The 10- and 20-city composites increased 1.5% and 0.9%, respectively, both slowing down from January's growth rates.
"More than half of major US metropolitan markets posted year-over-year price declines in February, signaling that the housing slowdown has broadened well beyond its Sun Belt origins," said Nicholas Godec, head of fixed income tradables and commodities at S&P Dow Jones Indices. "With consumer inflation at 2.4%, US home values have lost ground in real terms for nine consecutive months."
Among the 20 cities, Chicago saw the highest annual gain in prices in February, up 5%, followed by New York and Cleveland. Denver logged the lowest return, down 2.2%, according to the report.
Sequentially, pre-seasonally adjusted national home prices increased 0.3% in February, compared with the previous month's 0.2% decline. The 10-city composite index was up 0.6%, while the 20-city composite increased 0.4%, the data showed.
"Monthly data offered a modest seasonal lift without underlying momentum," Godec said. "Mortgage rates near 6% continue to weigh on affordability and transaction activity, holding nominal price growth below inflation."
Separately, the Federal Housing Finance Agency said US home prices were unchanged sequentially in February after January's 0.1% gain was revised upward to 0.2%. Annually, prices increased 1.7% in February, according to the report.
Price: $444.38, Change: $+7.16, Percent Change: +1.64%