August 2024 S&P Case-Shiller Price Index: Home Price Growth Continues to Stall

• The seasonally adjusted S&P CoreLogic Case-Shiller U.S. National Home Price Index® increased 0.3% in August, an acceleration from the previous month.
• Nationally, prices rose 4.2% year-over-year in August, down from 4.8% in July and from a recent peak of 8.3% earlier this year in March.
• Annual price growth also slowed in both the 10-city index and the 20-city index.

What happened: Following the dynamics in Zillow's Home Value Index released earlier this month, the annual appreciation continued to slow into August according to the S&P CoreLogic Case-Shiller Index.  But, monthly appreciation stabilized with the break in mortgage rates pulling in more buyers interest at a time of pinched affordability.

Why it matters: That mortgage rate relief continued into September, but has since dissipated, and perhaps that renewed strength in monthly appreciation along with it. As we near the slower fall months, many buyers are likely to face affordability concerns amid steep pricing, but  sellers should continue to expect record high home equity, especially in the northern and southwestern swaths of the U.S. 

Home appreciation as measured by Zillow Home Value Index (ZHVI), saw a similar annual slow down in August. Zillow’s September numbers continue the trend of softer annual appreciation and accelerating monthly growth.