These charts are from Bob Shiller. The first scatter gram compares the unemployment rate with the change in home prices in the 12 months through April, 2015. There is no obvious pattern orrelation between unemployment rates and the change in home prices. The second scatter gram tells a different story: the faster employment grew over the year ending April 2015 (the horizontal axis), the faster home prices rose in the same time period (vertical axis). Job growth, not unemployment, matters for home prices. Click on the charts for a larger image.
The home price data is from the latest release of the S&P/Case-Shiller Home Price Indices. Unemployment rate and growth in employment data are from the US Bureau of Labor Statistics.
from S&P Dow Jones Indices – HousingViews