Econintersect: CoreLogic’s Home Price Index (HPI) shows that home prices in the USA in July 2013 are up 12.4% year-over-year (the June report said home prices were up 11.9%).
This is the 17th consecutive month of year-over-year increase. Dr. Mark Fleming, chief economist for CoreLogic stated:
Home prices continued to surge in July. 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.
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Anand Nallathambi, president and CEO of CoreLogic stated:
Home prices continue to climb across the nation in July with markets hit hardest during the downturn leading the way. Nationally, home prices are now within 18 percent of their peak levels reached in April of 2006.
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Comparison of Home Price Indices – Case-Shiller 3 Month Average (blue line, left axis), CoreLogic (green line, left axis) and National Association of Realtors (red line, right axis)
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The way to understand the dynamics of home prices is to watch the direction of the rate of change – and not necessarily whether the prices are getting better or worse. Home prices are improving – but the rate growth of year-over-year price improvement is now flat (not accelerating or decelerating).
Year-over-Year Price Change Home Price Indices – Case-Shiller 3 Month Average (blue bar), CoreLogic (yellow bar) and National Association of Realtors (red bar)
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Source: CoreLogic