Single-family home prices across the U.S. leaped 8.1 percent in January on a seasonally adjusted basis, for the biggest annual increase since before the housing market collapsed in June 2006, according to S&P/Case Shiller Home Price Index, cited in a report by CNBC.
All 20 metropolitan areas analyzed showed price gains over the previous year, with New York City posting an increase for the first time in two years.
The index gained a full percentage point from December to January, better than the anticipated 0.9 percent gain.
“I don’t think we’re in a zone where prices are rising too much,” David Blitzer, chairman of the S&P 500 index committee, told CNBC. “Down the road, it’s quite possible that prices move up a little more than expected. A lot of people are renting because they are not sure where the market is going.”