US Home Prices Surged , More Than 18 Percent in October.<br />The S&P CoreLogic Case-Shiller 20-city home price index was released on Dec. 28.<br />It revealed an average increase of <br />18.4 percent in home prices for October this year.<br />Phoenix, AZ, had the steepest increase in home prices, with an uptick of 32.3 percent.<br />Tampa and Miami followed Phoenix with 28.1 and 25.7 percent increases, respectively. .<br />Minneapolis and Chicago experienced the smallest increase with an uptick of 11.5 percent for each city.<br />Economists had been expecting an increase in line with what the S&P data revealed.<br />While analysts believe the increase likely is reflective of hopes for a receding COVID-19 pandemic.<br />they also stated that the reasons behind the significant increase are complex.<br />We have previously suggested that the strength in the U.S. housing market is being driven in part by a change in locational preferences as households react to the COVID pandemic. , Craig Lazzara, S&P Dow Jones Indices, via CNBC.<br />It is also unclear if these increases are long-term or reflective of a boom in the housing market.<br />More data will be required to understand whether this demand surge represents an acceleration of purchases that would have occurred over the next <br />several years.., Craig Lazzara, S&P Dow Jones Indices, via CNBC.<br />... or reflects a more permanent secular change, Craig Lazzara, S&P Dow Jones Indices, via CNBC.<br />Mortgage rates continue to slide downward, .<br />perhaps as a reflection of increased uncertainty over Omicron and other COVID-19 variants
