Home prices post 30th straight year-over-year gain in August
expect continued increases, but at a slower pace
By James Limbach
prices -- including distressed sales -- posted a year-over-year gain of 6.4% in
information provider CoreLogic says it's the 30th month of consecutive
year-over-year increases by its Home Price Index (HPI). On a month-over-month
basis, home prices nationwide inched up 0.3%.
state level, all states showed year-over-year home price appreciation in August.
In addition, the HPI reached new highs in a total of 9 states -- Alaska,
Colorado, Iowa, Louisiana, Nebraska, North Dakota, Oklahoma, Texas and Wyoming
-- plus the District of Columbia.
distressed sales, which include short sales and real estate owned (REO)
transactions, home prices nationally increased 5.9% year-over-year and 0.3%
pace of year-over-year appreciation continues to slow down as real estate
markets find more balance,”said Mark Fleming, chief economist at CoreLogic.
“Home price appreciation reached a peak of almost 12% year-over-year in October
2013 and has since subsided to the current pace of 6%t. Continued moderation of
home price appreciation is a welcomed sign of more balanced real estate markets
and less pressure on affordability for potential home buyers in the near
Including distressed sales, the 5
states with the highest home price appreciation were: Michigan (+11.1%),
California (+9.2%), Nevada (+9.2%), Maine (+9%) and West Virginia (+8.7%).
Excluding distressed sales, the 5
states with the highest home price appreciation were: Massachusetts (+9.4%),
Maine (+9.3%), West Virginia (+8.9%), Hawaii (+8.7%) and South Carolina (+8.1%).
Including distressed transactions, the
peak-to-current change in the national HPI (from April 2006 to August 2014) was
-12.1%. Excluding distressed transactions, the peak-to-current change in the
HPI for the same period was -8.6%.
The 5 states with the largest
peak-to-current declines, including distressed transactions, were: Nevada
(-36.2%), Florida (-33.4%), Arizona (-28.9%), Rhode Island (-26.8%) and
Including distressed sales, the U.S.
has experienced 30 consecutive months of year-over-year increases; however, the
national average is no longer posting double-digit increases.
Ninety-eight of the top 100 Core Based
Statistical Areas (CBSAs) measured by population showed year-over-year
increases in August 2014. The two CBSAs that did not show an increase were
Rochester, N.Y. and Little Rock-North Little Rock-Conway, Ark.
CoreLogic HPI Forecast indicates home prices -- including distressed sales --
will increase 0.2 percent% over month from August 2014 to September 2014 and,
on a year-over-year basis, by 5.2%.
distressed sales, home prices are expected to rise 0.2% month over month and by
4.7% year over year.