CHICAGO, IL — (Marketwired) — 09/24/13 — The S&P Case-Shiller house price index for the country-s largest 20 metropolitan areas rose 0.6 percent in July. That was below the expected 0.8 percent increase and the slowest monthly gain since last September — likely a reflection of higher mortgage rates hurting demand somewhat, according to BMO Economics.
However, Jennifer Lee, Senior Economist, BMO Capital Markets said, “On a year-over-year basis, prices are up 12.4 percent, extending the double-digit pace for the fifth straight month. All but two of the 20 areas covered — Cleveland and Minneapolis — rose in July, while every metropolitan area continued to grow on a year-over-year basis.”
The BMO Economics also noted the FHFA-s house price index, which looks at single-family homes with conforming mortgages. This showed a bigger 1.0 percent jump in July — the fastest since March — or 8.8 per cent above a year ago.
“Both measures show prices climbing from prior year levels at their fastest pace in 7 1/2-years, boosted by decent demand and still-low, but off the bottom, inventory levels,” noted Ms. Lee.
Established in 1817 as Bank of Montreal, BMO Financial Group is a highly-diversified North American financial services organization. With total assets of $549 billion as at July 31, 2013, and more than 46,000 employees, BMO Financial Group provides a broad range of personal and commercial banking, wealth management and investment banking products and solutions.
Beth Copeland
Indianapolis
(317) 269-1395