The Case-Shiller Home Price Index, which is considered the “gold standard” for appreciation, showed home prices nationwide rose 0.3% from March to April after seasonal adjustment. Home values in April were also 6.3% higher than a year earlier, following a 6.5% gain in March.
The Federal Housing Finance Agency’s (FHFA) House Price Index also reported a 0.2% jump in home prices from March to April, with prices 6.3% higher than the previous year. Note that FHFA does not include cash buyers or jumbo loans, and these factors account for some of the differences in the two reports.
What’s the bottom line? “For the second consecutive month, we’ve seen our National Index jump at least 1% over its previous all-time high,” confirmed S&P DJI’s Head of Commodities, Brian D. Luke.
These indexes show that homeownership remains a fantastic opportunity for families to create wealth through appreciation gains.