CoreLogic: Home Prices Jumped At The Fastest Rate In 6 Years

National home prices, including that of distressed homes, climbed 6.3 per cent year-over-year in October, rising for the eighth straight month, according to the latest data from CoreLogic. This is the biggest increase since June 2006.

On a monthly basis however home prices declined 0.2 per cent.

“We are seeing an ongoing strengthening of the residential housing market,” said Anand Nallathambi, president and CEO of CoreLogic in a press release. “Reduced inventories and improving buyer demand are contributing to stability and growth in home prices which is essential to the long term health of the housing market and the broader economy.”

Here are some details from the report:

  • Excluding distressed sales, home prices rose 5.8 per cent on the year, and 0.5 per cent from the last month.
  • The pending home price index (HPI) projects that November home prices including distressed sales will rise 7.1 per cent on the year, and decrease 0.3 per cent on the month.
  • Meanwhile, home prices ex-distressed sales are projected to rise 7.4 per cent on the year, and 0.5 per cent on the month.
  • The recovery is “broad-based” and sand (Arizona, Nevada, California) and energy states (North Dakota) are seeing the most home price appreciation.
  • “Including distressed sales, the five states with the highest home price appreciation were: Arizona (+21.3 per cent), Hawaii (+13.2 per cent), Idaho (+12.4 per cent), Nevada (+12.4 per cent) and North Dakota (+10.4 per cent).”
  • “Including distressed sales, the five states with the greatest home price depreciation were: Illinois (-2.7 per cent), Delaware (-2.7 per cent), Rhode Island (-0.6 per cent), New Jersey (-0.6 per cent) and Alabama (-0.3 per cent).”
  • “Excluding distressed sales, the five states with the highest home price appreciation were: Arizona (+16.6 per cent), Hawaii (+12.2 per cent), Nevada (+10.8 per cent), Idaho (+9.7 per cent) and California (+9.7 per cent).”
  • “Excluding distressed sales, this month only three states posted home price depreciation: Delaware (-2.1 per cent), Alabama (-1.5 per cent) and New Jersey (-0.2 per cent).”

Here’s a look at the trajectory of home prices since 2002:

home price chart

Photo: CoreLogic

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