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In November, the S&P Cotality Case-Shiller U.S. National Home Price NSA Index recorded a 1.4% annual gain, consistent with the gain in October. The 10-City Composite increased 2.0%, up from 1.9% the previous month, while the 20-City Composite rose 1.4% year-over-year, up from 1.3%. Among the 20 cities, Chicago posted the highest annual gain at 5.7%, followed by New York at 5.0% and Cleveland at 3.4%. Tampa again posted the lowest annual return, with prices falling 3.9%.

On a month-over-month basis, the U.S. National Index declined 0.1% before seasonal adjustment. At the same time, the 10-City Composite inched up 0.1%, while the 20-City Composite edged down less than 0.1%. After seasonal adjustment, the U.S. National Index rose 0.4%, while the 10-City and 20-City Composites both grew 0.5%.

The combination of high financing costs and prices continue to cap growth. Before seasonal adjustment, 15 of the 20 major metro areas saw price declines in November. The Northeast and Midwest continue to outperform other regions as overall conditions cool. Meanwhile, in addition to Tampa, the Sun Belt and Western markets continue declining, including Phoenix (down 1.4%), Dallas (down 1.4%) and Miami (down 1.0%).

Any short-term momentum from last year has slowed across regions. Home price gains continue to trail inflation, weakening home values over the past year. The new equilibrium of minimal price growth and elevated costs is leaving home values essentially flat in real terms.