The S&P/Case-Shiller U.S. National Home Price Index, covering 20 major U.S. metro areas was unchanged in January on a non-seasonally-adjusted basis. Still, the index of all 9 U.S. census divisions recorded a slightly higher year-over-year gain with a 5.4% annual increase in January 2016.
The expectation was for an increase of 0.1%. From the same period a year prior, prices saw a 5.7% increase, slightly below expectations for a 5.8% rise.
“Home prices continue to climb at more than twice the rate of inflation,” says David M. Blitzer, Managing Director and Chairman of the Index Committee at S&P Dow Jones Indices. “The low inventory of homes for sale — currently about a five month supply – means that would-be sellers seeking to trade-up are having a hard time finding a new, larger home.”