Nov. 24 (UPI) -- Housing prices in the United States saw their greatest rise in years in September, according to an industry report Tuesday.
The S&P CoreLogic Case-Shiller index shows an annual gain of 7% in September, the largest spike for the month since 2014. The figure is an increase over the 5.8% rise in August.
The index tracks prices of single-family homes in a number of top metropolitan areas.
Analysts said higher demand for housing has been fueled by the coronavirus pandemic.
"A trend of accelerating increases in the National Composite Index began in August 2019 but was interrupted in May and June, as COVID-related restrictions produced modestly-decelerating price gains," Craig Lazzara, managing director and global head of index investment strategy at S&P Dow Jones Indices, said in a statement.
Lazzara said prices began to accelerate after June.
"This month's increase may reflect a catch-up of COVID-depressed demand from earlier this year; it might also presage future strength, as COVID encourages potential buyers to move from urban apartments to suburban homes," he added.
"The next several months' reports should help to shed light on this question."
According to the Case-Shiller index, Phoenix (11.4%), Seattle (10.1%) and San Diego (9.5%) saw the highest year-to-year gains in September.