Despite experiencing a slight downturn—the first monthly decline in a year—home prices still turned in a strong performance in November, according to the S&P/Case-Shiller Home Price Indices released Tuesday.
On a monthly basis, both the 10- and 20-city composite indices saw a 0.1 percent decrease in November, marking the first decline since November 2012 and the breaking a nine-month streak of increases.
Nine of the 20 cities tracked in the indices posted positive monthly changes, while another nine reported declines. Two—Minneapolis and San Diego—were flat for the month.
Dallas, which saw a drop in prices in October, recovered to set a new index high, S&P Dow Jones Indices reported. Denver, which was climbing to new records only a few months ago, ended November 0.6 percent off its peak.
Even with national prices down month-over-month, “November was a good month for home prices,” said David M. Blitzer, chairman of the Index Committee at S&P Dow Jones Indices.
“Despite the slight decline, the 10-City and 20-City Composites showed their best November performance since 2005,” Blitzer said. “Prices typically weaken as we move closer to the winter. Las Vegas, Los Angeles and Phoenix stand out as they have posted 20 or more consecutive monthly gains.”
On a yearly basis, the 10- and 20-city composites were up 13.8 percent and 13.7 percent, respectively. The increases fell in line with the consensus forecast as reported by Bloomberg.
Again, Dallas outperformed with an annual return of 9.9 percent—the highest since its inception in 2000. Also standing out was Chicago, which posted an increase of 11.0 percent, its highest since 1988.
As of November, average home prices nationwide were back to mid-2004 levels, according to the index report. The peak-to-current decline for both composite indices remained at about 20 percent, while the trough-to-current recovery was about 23.0 percent for the 10-city and 23.7 percent for the 20-city composites.
The Case-Shiller release followed Black Knight Financial Services’ (formerly LPS) monthly Home Price Index report, which showed prices rising 0.3 percent month-over-month and 8.5 percent year-over-year in November.