Home prices continue slowly rising
According to CoreLogic’s September Home Price Index report, home prices rose 0.3 percent compared to the previous month, and increased 5.0 percent between September 2011 and September 2012, including distressed sales, representing the largest increase since July 2006, and the seventh consecutive increase in home prices nationally on an annual basis.
As of September, all but seven states experienced price gains over the last year. Of the top 100 Core Based Statistical Areas (CBSAs) measured by population, 18 are showing year-over-year declines in September.
The CoreLogic HPI indicates that October 2012 home prices are expected to increase 5.7 percent from October 2011, but fall 0.5 percent from September “as sales exhibit a seasonal slowdown going into the winter.”
“Home price improvement nationally continues to outpace our expectations, growing five percent year-over-year in September, the best showing since July 2006,” Dr. Mark Fleming, Chief Economist for CoreLogic said in a statement. “While prices on a month-over-month basis are declining, as expected in the housing off-season, most states are exhibiting price increases. Gains are particularly large in former housing bubble states and energy-industry concentrated states.”
“Home prices are responding to better market fundamentals, such as reduced inventories and improved buyer demand,” said Anand Nallathambi, president and CEO of CoreLogic. “So far this year, we’re seeing clear signs of stabilization and improvement that show promise for a gradual recovery in the residential housing market.”
State performances varied
Including distressed sales, the five states with the highest home price appreciation were Arizona (+18.7 percent), Idaho (+13.1 percent), Nevada (+11.0 percent), Hawaii (+8.9 percent) and Utah (+8.7 percent).
Including distressed sales, the five states with the greatest home price depreciation were Rhode Island (-3.5 percent), Illinois (-2.3 percent), New Jersey (-1.8 percent), Alabama (-1.3 percent) and Delaware (-0.5 percent).
Excluding distressed sales, the five states with the highest home price appreciation were Arizona (+14.0 percent), Idaho (+10.5 percent), Nevada (+9.5 percent), Montana (+8.5 percent) and California (+8.4 percent).
Excluding distressed sales, this month only four states posted home price depreciation Alabama (-3.1 percent), New Jersey (-1.6 percent), Delaware (-1.4 percent) and Rhode Island (-1.3 percent).
The five states with the largest peak-to-current declines, including distressed transactions, are Nevada (-53.9 percent), Florida (-44.7 percent), Arizona (-41.7 percent), California (-37.2 percent) and Michigan (-35.0 percent).