Signs of a US housing market’s resilience despite higher interest rates were evident in the latest batch of data, showing home prices rising in major cities and new-home sales hitting new highs. highest in 14 months.
Prices in the 20 major cities rose 0.9 percent on a seasonally adjusted basis from March to April, according to the S&P Corelogic Case-Shiller index, beating analysts’ expectations for a 0.4 percent gain. %. Prices in the previous 12 months fell 1.7%.
The figures are more evidence that the drop that began a year ago ended in January, but Craig Lazzara, chief executive officer of S&P Dow Jones Indices, said mortgage rates are higher and “The possibility of further weakness in the economy” could challenge the market in the coming months.
Separately, new home sales rose more than forecast to a 14-month high of 763,000 units. In recent weeks, several homebuilders have recorded demand for new housing as buyers adjust to higher interest rates.