CoreLogic: Home Prices Up 5%, Best Showing Since ’06

Home prices are on the rise with values increasing 5% year-over-year in September, according to Home Price Index (HPI) data released this month by CoreLogic. This growth marks the seventh consecutive increase nationally on a year-over-year basis and could mean the ailing housing market might be steadily on its way to recovery, CoreLogic says.

“Home price improvement nationally continues to outpace our expectations, growing 5% year-over-year in September, the best showing since July 2006,” said Mark Fleming, chief economist for CoreLogic.

Though distressed sales have dragged values down slightly, looking at the averages excluding those sales, CoreLogic finds a 0.5% month-over-month increase in September. 

Advertisement

This slight increase exhibits the seventh consecutive increase in home values on a month-over-month basis, in turn reinforcing CoreLogic’s October forecast of a 5.7% year-over-year rise in home values compared to 2011. 

According to the report, all but seven states are experiencing year-over-year home price gains, resulting in CoreLogic’s positive forecast for October as a month for growth, just as values are expected to hit a seasonal slowdown moving into winter. 

“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.”

Written by Jason Oliva

Join the Conversation (1)

see all

This is a professional community. Please use discretion when posting a comment.

  • The article is exactly right; winter is when growth in values slows down on average on a national basis.  With the problems Hurricane Sandy and the snow storm which followed, it seems fiscal 2013 will not be the year when endorsements turn around.

    While 5% on a year over year basis is great to read that it takes knocking out distressed sales to get to positive growth on a month over month basis cannot be sighted as good news in a comparative sales appraisal market.

    If home values “warm up” with the arrival of Spring, we should get a good idea how endorsements will pan out for next fiscal year.  Endorsement wise, it seems fiscal 2013 will be another tough year for the industry.

string(93) "https://reversemortgagedaily.com/2012/11/12/corelogic-home-prices-up-5-best-showing-since-06/"

Share your opinion