Home prices surged 12.4% nationwide in July compared to the previous year and are expected to gain double digits in August, accord to the CoreLogic (NYSE:CLGX) Home Price Index report, released Tuesday.
The increase, which includes distressed sales, represents the seventeenth straight month where national home prices rose on an annual basis. Home prices also saw monthly gains, up 1.8% from June 2013.
Excluding distressed sales, home prices were up 11.4% in July compared to the same month in 2012 and rose 1.7% from June.
“Home prices continued to surge in July,” said Dr. Mark Fleming, chief economist for CoreLogic, of the report. “Looking ahead to the second half of the year, price growth is expected to slow as seasonal demand wanes and higher mortgage rates have a marginal impact on home purchase demand.”
August home prices, including distressed sales, are expected to rise by 12.3% year-over-year, according to the CoreLogic Pending HPI. On a monthly basis, prices will increase 0.4% from July, the index predicts.
Excluding distressed sales, no states posted home price depreciation in July, CoreLogic found, while just one state—Delaware—did register price depreciation of 1.3% when factoring in distressed sales.
The five states with the highest home price appreciation, including distressed sales, were Nevada (up 27%), California (up 23.2%), Arizona (up 17%), Wyoming (up 16.4%), and Oregon (up 15%).
“Home prices continue to climb across the nation in July with markets hit hardest during the downturn leading the way,” said Anand Nallathambi, president and CEO of CoreLogic, in the report. “Nationally, home prices are now within 18 percent of their peak levels reached in April of 2006.”
Nevada, Florida, Arizona, Rhode Island, and Michigan are the five states with the largest peak-to-current declines, ranging from 27.7% to 43%.
View the CoreLogic HPI report for July 2013.
Written by Alyssa Gerace