The non-seasonally adjusted Case-Shiller home price index (20 cities) for March 2014 (released today) rate of growth again declined slightly but showed the 22nd consecutive monthly year-over-year gain in housing prices since the end of the housing stimulus in 2010.
- 20 city unadjusted home price rate of growth decelerated 0.5% month-over-month. [note that headline unadjusted month-over-month change was +0.9% - Econintersectuses the change in year-over-year growth from month-to-month to calculate the change in rate of growth]
- Home prices increased 12.4% year-over-year (20 cities).
- The market had expected a year-over-year increase for the 20 city unadjusted index of 11.6% to 12.9% (consensus 11.9%) versus the 12.4% reported.
- Case-Shiller continues to show the highest year-over-year home price gains of any home price index.
S&P/Case-Shiller Home Price Indices Year-over-Year Change
Comparing all the home price indices, it needs to be understood each of the indices uses a unique methodology in compiling their index – and no index is perfect. The National Association of Realtors normally shows exaggerated movements which likely is due to inclusion of more higher value homes.
Comparison of Home Price Indices – Case-Shiller 3 Month Average (blue line, left axis), CoreLogic (green line, left axis) and National Association of Realtors 3 Month Average (red line, right axis)
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The way to understand the dynamics of home prices is to watch the direction of the rate of change. Here  home price growth is now decelerating.
Year-over-Year Price Change Home Price Indices – Case-Shiller 3 Month Average (blue bar), CoreLogic (yellow bar) and National Association of Realtors 3 Month Average (red bar)
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There are some differences between the indices on the rate of “recovery†of home prices.Â
