Home-price growth began accelerating in July, a sign that the slowdown in home prices caused by the coronavirus pandemic may be reversing.
The S&P CoreLogic Case-Shiller National Home Price Index, which measures average home prices in major metropolitan areas across the nation, rose 4.8% in the year ending in July. On a monthly basis, prices rose 0.8 percentage points from June to July, after staying flat during the previous month.
Meanwhile, sales of existing homes have surged, rising 10.5% on an annual basis in August, according to the National Association of Realtors. That included a 44% increase in the sales of homes costing more than $1 million.
Home sales during the pandemic have been boosted by more families deciding to buy single-family homes where they can more comfortably work from home and have their children do remote learning. Their purchases have been aided by historically low mortgage interest rates.