Home prices in the U.S. continue to rise at astronomical rates: Their annual gain hit 14.6% in April, according to the S&P CoreLogic Case-Shiller National Home Price Index. That's up from 13.3% in March.
"The 14.6% gain in the National Composite is literally the highest reading in more than 30 years of S&P CoreLogic Case-Shiller data," Craig Lazzara, managing director and global head of index investment strategy at S&P Dow Jones Indices, told CNBC. He attributes the jump to urban apartment-dwellers purchasing suburban homes during the coronavirus pandemic.
Among the cities with the highest gains were Phoenix, San Diego, and Seattle, which were up over 20% from the year before. Seattle had its largest annual gain in the history of the index, as did Charlotte, Cleveland, Dallas, and Denver.
Video by Richard Washington
A lack of homes for sale isn't helping matters. While May inventory rose in comparison to April, it was still 21% lower than May 2020.
If you're currently in the market for a home, it can be tempting to jump on a property before prices rise further. Experts advise researching home prices in your area before making an offer, viewing the property first if you can, and not waiving the right to an inspection.
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