Home prices shrug off higher interest rates to cap year of robust growth in 2016
By Laura Kusisto | The Wall Street Journa;
Home prices jumped in December to their fastest full-year growth since 2013, as buyers shrugged off the effects of higher interest rates.
The S&P CoreLogic Case-Shiller Indices, covering the entire nation, rose 5.8% in the 12 months ended in December, compared with a 5.6% year-over-year increase reported in November.
The 10-city index gained 4.9% over the year, up from 4.4% the previous month, while the 20-city index gained 5.6% year-over-year, versus a 5.2% increase in November.
“Metro Phoenix capped last year off with 10 percent more new home sales than during the prior year. In the first two months, sales have moved up further- 13 percent above the same period one year ago. Belfiore anticipates growth now rather than a pullback, as buyers try to beat rising payments expected to come with higher Fed and mortgage interest rates.”
~ Jim Belfiore
