U.S. Home Price Growth Unexpectedly Slows In June

(RTTNews) - Home price growth in major U.S. metropolitan areas unexpectedly slowed in the month of June, according to a report released by Standard & Poor's on Tuesday.

The report said the S&P/Case-Shiller 20-city composite home price index was up 5.1 percent year-over-year in June, reflecting a slowdown compared to a revised 5.3 percent increase in May.

The slowdown came as a surprise to economists, who had expected the annual rate of price growth to hold at the 5.2 percent that had been reported for the previous month.

The index edged down by a seasonally adjusted 0.1 percent month-over-month in June, matching the drop seen in May.

On a non-seasonally adjusted basis, the 20-City Home Price Index climbed by 0.8 percent in June following a 0.9 percent increase in the previous month.

"Home prices continued to rise across the country led by the west and the south," said David M. Blitzer, Managing Director and Chairman of the Index Committee at S&P Dow Jones Indices.

He added, "Nationally, home prices have risen at a consistent 4.8% annual pace over the last two years without showing any signs of slowing."

Wednesday morning, the National Association of Realtors is scheduled to release a separate report on pending home sales in the month of July.