Home prices may climb to fresh all-time highs as the Fed eyes rate cuts and mortgage rates fall

Tue, 12/26/2023 - 10:50

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Home prices could keep climbing, as mortgage rates fall and the Fed slashes rates.
The latest release of the Case-Shiller index data showed a 4.8% annual increase in home prices in October.
Mortgage rates have fallen as markets eye Fed easing, driving a new wave of homebuyer demand.

Home prices surged in October, and they may have room to run further, according to data from S&P Global's Dow Jones Indices group.

The S&P CoreLogic Case-Shiller home price index, a leading tracker of US home prices, showed a 4.8% annual increase in October, according to a release on Tuesday. In September, the index showed a 4% annual rise in home prices.

And as the Fed is poised to slash rates, sending mortgage rates tumbling lower, lofty prices are expected to stick around.