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Macro EconomyMediumUpdated×3•Originally published 27 October 2026•Updated 27 October 2026•
4 min read

U.S. Home Prices Rise 2.1% Annually in August Despite 15th Straight Month of Real Declines

Key Facts

1The national home price index rose 2.1% year over year in August, compared with 1.9% in July.
2Annual inflation of 3.4% exceeded home price growth of 2.1% by about 1.3 percentage points, as prices declined in real terms for the 15th month.
3The 10-City Index rose 3.6% and the 20-City Index 2.7% year over year in August.
4Before seasonal adjustment, the indexes fell month over month by 0.2% nationally and 0.4% for the 10-City and 20-City indexes.
5Chicago posted an annual increase of 6.7%, while Seattle home prices fell 2.0% in August.

The S&P CoreLogic Case-Shiller U.S. National Home Price Index rose 2.1% year over year in August 2026, compared with a 1.9% increase in July, according to a statement issued by S&P Dow Jones Indices on October 27. Annual growth in the index accelerated in August, after nominal price gains remained below inflation. Rebecca Kaufman of S&P said, "U.S. home prices declined in real terms for the 15th consecutive month in August 2026, although the gap narrowed as nominal price growth improved." Annual inflation was 3.4%, exceeding home price growth of 2.1% by about 1.3 percentage points, according to the release. Monthly figures showed a different picture depending on seasonal adjustment: the indexes fell before adjustment and rose afterward.

Year over year, the 10-City Index rose 3.6% in August, compared with 3.4% in July, while the 20-City Index increased 2.7%, after 2.5% in the previous month, according to S&P data. The comparison shows acceleration in both indexes, alongside an increase in the national index from 1.9% to 2.1% over the same period. But the August monthly reading, before seasonal adjustment, showed a 0.2% decline in the national index and a 0.4% decline in each of the 10-City and 20-City indexes. After seasonal adjustment, the national index rose 0.3%, the 10-City Index 0.4% and the 20-City Index 0.3%. These differences reflect how the monthly comparison changes with the treatment of seasonal effects, while the year-over-year comparison remained positive for all three indexes.

Results varied across cities. Chicago led with the largest annual increase, at 6.7% in August, extending its run of the strongest growth to six consecutive months, according to S&P. New York followed with a 6.2% gain, then Cleveland with a 4.3% increase. At the other end, Seattle posted the largest annual decline among cities, with prices falling 2.0% for the third consecutive month. The readings highlight a clear divide between centers where annual gains exceeded those of the composite indexes and a city where prices continued to fall year over year. The release did not provide an explanation for these market differences among the available figures.

Against the backdrop of the home price data, the U.S. Consumer Price Index rose 0.4% month over month in August after a 0.1% increase in July, according to the Bureau of Labor Statistics. The shelter index rose 0.3% in August, while the energy index increased 2.1% month over month. Over the 12 months, inflation was 3.4%, the rate S&P compared with annual home price growth of 2.1%. That gap kept the real decline in home values in place, despite an acceleration in nominal price growth compared with July. Monthly inflation data provide additional context for price movements without changing the core comparison between the annual inflation rate and home price growth.

A separate Federal Housing Finance Agency index showed U.S. home prices rising 0.3% in July from the previous month and 2.6% from July 2025, according to the agency. The previously reported monthly change for June remained at 0.0%, unrevised. These results concern the agency's index and July reading, while the Case-Shiller figures in the release measure August movements through its national and city indexes. Across the agency's nine census divisions in July, seasonally adjusted monthly changes ranged from a 0.8% decline in the Mountain division to a 1.5% increase in the Mid-Atlantic. Year over year, changes ranged from a 0.6% increase in the Mountain division to 6.3% in the Mid-Atlantic, adding evidence of geographic variation in the separate index.

The next S&P CoreLogic Case-Shiller index is scheduled for release on November 24, 2026, at 8:00 a.m. U.S. Central Time, according to the Federal Reserve Bank of St. Louis calendar. The next release will provide another opportunity to track whether the acceleration in annual growth in August continues in the subsequent reading. S&P's report for the July release noted that index data for the prior 24 months could be revised as additional source data became available. This means some earlier readings could change as that data arrives, according to the company. The revision notice concerns the July release and does not include updated peak or trough figures for the August release.