U.S. Home Prices Continue to Surge with Tight Supply

Home prices in the United States increased in June by 18.6% on an annual basis, as shown by the latest reading of the S&P CoreLogic Case-Shiller Home Price Index.

The index registered a third consecutive record increase.

The gauge of home prices in 20 cities and major metropolitan areas

Home prices in the U.S. continue to rise amid a tight supply.

This has prompted the Federal Reserve to reconsider buying mortgage-backed securities, with fears of overheating. A decision is expected in the policy meeting later this month.