National home prices rose 6.6% in May over the prior year as sales activity was affected by low inventory, according to CoreLogic.

While price increases boosted home equity for current homeowners, buyers and renters face issues of affordability in most markets.

"The market remained robust with home sales and prices continuing to increase steadily in May," said Frank Nothaft, chief economist for CoreLogic, in a press release. "While the market is consistently generating home price growth, sales activity is being hindered by a lack of inventory across many markets."

The rental market was also impacted by inventory, as overall single-family rent inflation was 3.1% on a year-over-year basis.

Home prices increased by 12.6% in Washington and by 10.4% in Utah. Prices in Wyoming, West Virginia and Alaska were the only states with price decreases, with a decline of 2.2%, 1.2% and 0.3%, respectively.

In April, home prices faced a similar national increase of 6.9%. CoreLogic expects U.S. home prices to rise by 5.3% from May 2017 to May 2018.

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