Mortgage rates may be high but so are prices for existing homes as reflected in Case-Shiller data that are at all time highs. April's 20-city unadjusted index rose a strong 1.4 percent on the month with the adjusted index up 0.4 percent. The unadjusted annual rate held above 7 percent, at a higher-than-expected 7.2 percent versus March's upward revised 7.5 percent. The report notes that 2024 is closely tracking last year's strong start though 2023 did see a slowdown in the summer and fall.

By city, San Diego"reigns supreme" according to the report, topping annual returns for the last six months and at 10.3 percent in the latest month. New York and Chicago follow at 9.4 percent and 8.7 percent with Portland once again at the tail-end but nevertheless in the plus column at 1.7 percent. By region the Northeast remained the best performing region for the ninth month in a row in what is this region's best run since 2011.

Unadjusted annual growth for the 20-city index is seen at 7.0 percent versus March's 7.4 percent that was 1 tenth above the consensus and 1 tenth above February.

The S&P Corelogic Case-Shiller home price index tracks monthly changes in the value of residential real estate in 20 metropolitan regions across the nation. Composite indexes and regional indexes measure changes in existing home prices and are based on single-family home resales. Condominiums and co-ops are excluded as is new construction. Note that forecasters, in line with recommendations from Standard & Poor's questioning the accuracy of seasonal adjustments, track both seasonally adjusted and not seasonally adjusted monthly data for this indicator.

Home values affect much in the economy - especially the housing and consumer sectors. Periods of rising home values encourage new construction while periods of soft home prices can dampen housing starts. Changes in home values, and the ability to draw upon expanding lines of home equity loans, play key roles in consumer spending and in consumer financial health.

Beginning with the onset of the subprime credit crunch in mid-2007 and with it a downturn in home prices, the ability of borrowers to refinance their debt into affordable fixed rate mortgages was sharply constrained. This in turn limited aggregate consumer spending and contributed to the depth of the Great Recession. From their peak in late 2006 and early 2007 to their nadir in mid-2012, Case-Shiller's home price indexes fell nearly 50 percent. The subsequent recovery proved slow but steady with the indexes finally surpassing their prior highs in early 2018.