US: Home prices continue steady appreciation - Wells Fargo

Analysts from Wells Fargo, point out that US home prices maintained a solid pace of growth in May, according to the S&P/Case-Shiller report. 

Key Quotes: 

“The S&P CoreLogic Case-Shiller National Home Price Index rose 0.2 percent in May and is up 5.6 percent year-to-year. The 20-City index is up 5.7 percent, while the 10-City index has risen just 4.9 percent. The 20-City index has been driven by huge gains in Seattle and Portland, which are not part of the 10-City index.”

“Home prices are surging in the West due to exceptionally strong population and employment growth that has not been matched by increased new home construction. The mismatch is most acute in Seattle, San Francisco, Portland and Denver, where new development faces geographic and legal hurdles.”