Case-Shiller Slows to 0.7% — Ninth Month Inflation Outpaces Home Prices
S&P Cotality Case-Shiller national index posted 0.7% YoY in February — ninth straight month CPI outruns home-price growth. Denver displaces Tampa as weakest.
The Data
0.7%.
That's the S&P Cotality Case-Shiller National Home Price Index year-over-year reading for February 2026, per S&P Dow Jones Indices — down from 0.8% in January and the slowest pace in years. With CPI running at 2.4% YoY in February, real home prices have now been negative for nine consecutive months.
The decomposition tells the deeper story. Chicago led at +5.0% YoY, followed by New York at +4.7% and Cleveland at +4.2%. At the bottom, Denver displaced Tampa as the weakest market at -2.2%, with Tampa close behind at -2.1%. Los Angeles printed -0.8% and Washington D.C. -0.1%. More than half the major metros tracked by the index now show YoY declines.
The Context
The flat-to-negative national print confirms the FHFA House Price Index reading the same week. FHFA's seasonally adjusted Feb index registered +1.7% YoY with a 0.0% month-over-month change, Scotsman Guide reported. The regional split is sharp: New England led at +4.2% YoY and East North Central at +3.8%, while Pacific posted -0.4% YoY (-0.5% MoM) and Mountain -0.7% YoY (-1.1% MoM).
Nicholas Godec at S&P Dow Jones Indices framed the slowdown as "broad-based softening, not concentrated weakness." Months of supply for existing homes sits at 2.4 months per FRED — still below balanced-market territory but loosening. The Denver, Tampa, and Chicago metro divergence is the sharpest signal for appreciation-driven strategies.
Also Moving
- HUD rescinded the 2024 IECC energy code for FHA and USDA new-construction loans. Secretary Scott Turner cited $20K–$31K in added project costs (HousingWire).
- Q1 homeownership held at 65.3% (Census HVS via Realtor.com Research) — rental vacancy at 7.3%, with the 45–54 cohort the only group showing a statistically significant YoY decline at 69.2%.
- Mortgage rates held near 6.32% despite Iran war headlines (HousingWire). The World Bank forecasts a 24% energy-price spike if the conflict deepens.
What to Watch
Three observable signals over the next 30 days:
- April 29 — FOMC decision. Consensus is a hold at 4.25–4.50%; markets are pricing the meeting as possibly Powell's last as chair.
- Late June — May Case-Shiller release. Whether the YoY pace breaches zero on the headline index, and whether Denver's bottom-of-pack reading deepens past -2.5%.
- May FHFA monthly print. Pacific and Mountain divisions are already in negative YoY territory — watch whether East North Central holds above +3% as the Midwest's relative strength.
Data sources: S&P Cotality Case-Shiller, FRED CPIAUCSL, FHFA HPI, Census HVS, FRED HOSSUPUSM673N.
CES is the BLS monthly survey of business payrolls that produces nonfarm employment counts at the national, state, and metro level — the establishment-based counterpart to LAUS unemployment data.
Read definition →HUD is the cabinet-level department that administers federal housing policy in the U.S. — it insures FHA mortgages, runs the Section 8 voucher program, publishes the Fair Market Rent benchmark, and enforces the Fair Housing Act.
Read definition →FHFA is the U.S. regulator that oversees Fannie Mae, Freddie Mac, and the 11 Federal Home Loan Banks — and it publishes the House Price Index that every serious market analysis relies on.
Read definition →Vacancy is any period when a rental unit sits empty and produces zero income — the gap between one tenant moving out and the next tenant's first rent check hitting your account, and the single biggest silent drain on a rental property's cash flow.
Read definition →Rent is the periodic payment a tenant makes to a landlord in exchange for the right to occupy a property -- the single revenue line that funds your mortgage, expenses, and profit as a rental property investor.
Read definition →A lease is a legally binding contract between a landlord and a tenant that grants the tenant exclusive use of a property for a specified period in exchange for rent — establishing every right, obligation, and financial term that governs the rental relationship.
Read definition →Sophia Warren
Residential Investment Analyst & News Editor
My realm is residential real estate investment, with a knack for spotting gems in emerging markets. I also edit the REI Prime daily news desk, where I translate federal data releases and operator signals into actionable briefs for small investors. Beyond properties, my world blooms in urban gardens and thrives in crafting stylish interiors.
More from Research
Continue exploring the Research phase of the PRIME framework.
Institutional SFR Is 0.59% of US Homes — and 82% of the Top 30 Metros
Institutional landlords own 0.59% of US single-family homes nationally but 82% of investor-owned rentals in the top 30 metros — Atlanta zips hit 25%.
Sophia Warren · Apr 28, 2026
U.S. Population Grew 0.5% in 2025; 50 Largest Counties Lost 637K
Census Vintage 2025: 80% of growing counties slowed; the 50 largest counties shed 637,634 to smaller markets — NAHB's HBGI says construction is following.
Sophia Warren · Apr 28, 2026
Agency Multifamily Stress Surfaces: GSE Delinquency Jumps to 0.97% in Q1
Fannie and Freddie commercial mortgage delinquency hit 0.97% in Q1 2026 — up from 0.63% — the cleanest signal yet that multifamily stress is showing on agency books.
Sophia Warren · Apr 27, 2026