Saturday, June 14, 2025

Latest

US Home Prices Jump by Most Since 2006, Outpacing Fed’s Inflation Target

Home prices across the US rose by the most since 2006, as low mortgage rates and constrained supply continue to put added pressure on the housing market.

US housing prices jumped by 11.94% on a year-over-year basis in February, marking the eighth consecutive month of gains, following an increase of 11.2% in January. Record-low interest rates were the main driving factor behind the ongoing housing rally, as potential homeowners gained more purchasing power to upgrade their properties. The average rate on a 30-year mortgage dropped to 2.97% according to most recent data, falling closer in line to the record-low of 2.65% set in January.

Low interest rates, and remote work flexibility, have caught the attention of potential homebuyers, who flocked to the suburbs and rural areas in search of more spacious homes. The surge in demand— particularly for single-family homes— has put added pressure on the already-constrained housing supply, fuelling housing prices even higher.

Price appreciation was the highest in Phoenix and San Diego, but as noted below, the rate of inflation is multiples of the Federal Reserve’s mandate, with even the “cheapest” homes in America accelerating at 4x the inflation target. However, due to the lag in Case-Shiller’s data, the true impact of rising mortgage rates still remains unknown for the time being.


Information for this briefing was found via S&P Global. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Aznalcóllar Corruption Case Nears Conclusion | David Gower – Emerita Resources

Why Precious Metals Crashed on Trump’s Trade Deals? | Jesse Day

Big Gold Miners Don’t Trust $3,300 Gold, Do They See a Crash Ahead? | Rob McEwen

Recommended

NexGen Energy Receives Approval For Site Expansion At Rook I Project

ESGold Sees Installation Of Humphrey Spirals Completed At Montauban

Related News

Biden Administration To Add 8 Chinese Firms To Investment Blacklist

In another move amid the escalating US-China tensions, the Biden administration is reportedly adding eight...

Wednesday, December 15, 2021, 12:40:00 PM

US Mortgage Rates Fall Below 3% Amid Concerns Over Second Wave of COVID-19

Just last week mortgage rates in the US appeared to show a slight increase as...

Friday, June 12, 2020, 02:04:00 PM

Temporary Pier in Gaza Damaged, Suspending US Aid Deliveries

The US military’s efforts to deliver aid to the Gaza Strip have been temporarily halted...

Wednesday, May 29, 2024, 07:54:42 AM

Increase in Rental Vacancies Could Have Significant Impact on Housing Prices

According to economists at Capital Economics, the recent increase in vacancy rates for short-term rentals...

Friday, May 22, 2020, 06:05:49 PM

Toronto Home Prices Soar to New Record as Buyer Competition Heats up

Home prices across the Greater Toronto Area were sent skyrocketing once again, as lack of...

Saturday, November 6, 2021, 10:48:00 AM