Home prices in the U.S. went down 0.2 percent between October and November 2023, the first monthly drop since January of the same year, according to the S&P CoreLogic Case-Shiller national home price index.
According to the latest data released by S&P Dow Jones Indices on Tuesday, 12 out of the 20 major metro markets analyzed by the company reported month-on-month price declines. The metro areas which experienced a drop in prices are Boston (-0.2 percent), Chicago (-0.4 percent), Dallas (-0.6 percent), Denver (-0.9 percent), Detroit (-0.4 percent), Minneapolis (-0.8 percent), Phoenix (-0.3 percent), Portland (-1.0 percent), San Diego (-0.5 percent), San Francisco (-1.3 percent), Seattle (-1.4 percent) and Washington (-0.3 percent).
"U.S. home prices edged downward from their all-time high in November," Brian D. Luke, head of Commodities, Real & Digital Assets at S&P DJI, said. "The streak of nine monthly gains ended in November, setting the index back to levels last seen over the summer months. Seattle and San Francisco reported the largest monthly declines, falling 1.4 percent and 1.3 percent, respectively."
"This month's report revealed the narrowest spread of performance across the nation since the first quarter of 2021," Luke added.
"The days of markets in the South rising double digits with markets in the Midwest remaining flat are over. The house price decline came at a time where mortgage rates peaked, with the average Freddie Mac 30-year fixed rate mortgage nearing 8 percent, according to Federal Reserve data," he continued. "The rate has since fallen over 1 percent, which could support further annual gains in home prices."
Home prices grew month-over-month in November 2023 in Charlotte (0.2 percent), Cleveland (0.3 percent), Las Vegas (0.2 percent), Los Angeles (0.1 percent), Miami (0.3 percent), New York (0.3 percent) and Tampa (0.1 percent).
Prices nationally were still higher when compared to a year before, rising 5.1 percent from November 2022 and up from a 4.7 percent increase in October 2023. Detroit reported the highest year-over-year increase in the country at 8.2 percent in November, with home prices in the city going up for the third month in a row. San Diego followed with an 8 percent increase.
Six cities registered a new all-time high in November, including Miami, Tampa, Atlanta, Charlotte, New York and Cleveland, according to Luke.
Portland was the only city where home prices dropped year-over-year, with a decrease of 0.7 percent between November 2022 and November 2023.
Update 01/30/2024, 10:40 a.m. ET: This article was updated with more details.
Uncommon Knowledge
Newsweek is committed to challenging conventional wisdom and finding connections in the search for common ground.
Newsweek is committed to challenging conventional wisdom and finding connections in the search for common ground.
About the writer
Giulia Carbonaro is a Newsweek Reporter based in London, U.K. Her focus is on U.S. and European politics, global affairs ... Read more
