US home prices rose 11.9% in February, fastest since 2014

U.S. home prices rose in February at the fastest pace in nearly seven years as strong demand for housing collided with tight supplies of homes on the market

WASHINGTON -- U.S. home prices rose in February at the fastest pace in nearly seven years as strong demand for housing collided with a tight supply of homes on the market. The February &P CoreLogic Case-Shiller 20-city home price index, released Tuesday, rose 11.9% from a year earlier, the biggest gain since March 2014. The index had also surged — 11.1% — in January. The February gain was about what economists had expected. Prices rose in all 20 cities, led by year-over-year gains of 17.4% in Phoenix, 17% in San Diego and 15.4% in Seattle. Chicago (up 8.6%) and Las Vegas (up 9.1%) registered the smallest gains. Demand for housing has surged during the pandemic. Americans fortunate enough to work from home, seeking more space or a different location. Low mortgage rates are also encouraging buyers: The average 30-year fixed, home loan rate fell last week below 3% for the first time in two months.