Washington, DC, United States (4E) – Home prices in the U.S. climbed in the 12 months ended February, although there are signs that the pace is slowing, according to a home price report published on Tuesday.
The S&P/Case-Shiller Home Price Index, which covers 10 major cities in the U.S., climbed 13.1 percent in the year ended in February. The measure’s 20-city price index rose 12.9 percent, which is lower than the 13.1 percent projected by economists and is down from last year’s 13.4 percent.
Both the 10-city and 20-city indexes stayed flat in February over January, based on unadjusted terms. On a seasonally adjusted basis, the 10-city index edged higher 0.9 percent, while the 20-city gauge grew 0.8 percent.
Increasing home prices is boosting the economy by promoting more home construction activity and higher wealth for existing homeowners. However, the acceleration in home prices seen for over a year is starting to ease.
In terms of regions, only prices in Denver and Dallas continue to reach new highs after the crisis. Boston, Washington and the Northeast with New York are seeing some of the slowest year-over-year increase, according to the report.