Tuesday, January 28, 2014

Home prices rise more than forecast in November


A 'sale' sign is seen outside a house in Alexandria, Virginia in this July 22, 2010 file photo. REUTERS/Molly Riley/Files ( 


(Reuters) - U.S. single-family home prices rose slightly more than expected in November, while their increase from a year ago was the biggest in almost eight years, a closely watched survey showed on Tuesday.

The S&P/Case Shiller composite index of 20 metropolitan areas gained 0.9 percent on a seasonally adjusted basis. A Reuters poll of economists forecast a rise of 0.8 percent.
The 20-city composite index rose 13.7 percent year-on-year, the largest rise since February 2006.

"Home prices continue to rise despite last May's jump in mortgage interest rates," David M. Blitzer, chairman of the Index Committee at S&P Dow Jones Indices, said in a statement.
"While housing will make further contributions to the economy in 2014, the pace of price gains is likely to slow during the year."

Despite a 0.1 percent decline on a non-seasonally adjusted basis for the monthly gauge, the 10-city and 20-city measures posted their best November performance since 2005.

Article curated from Reuters

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