FNC Index: Home Prices Pick Up Momentum

Latest numbers indicate U.S. home prices are rising at a faster pace.

GlobeNewswire

OXFORD, Miss., July 22, 2014 (GLOBE NEWSWIRE) -- via PRWEB - Home sales nationwide picked up momentum entering the summer months, according to the latest FNC Residential Price Index(TM) (RPI) released this week. The latest numbers--as of May--indicate U.S. home prices are rising at a faster pace. Constructed to gauge the price movement among normal home sales by excluding distressed properties, the index rose 1.0% from April to May. On a year-over-year basis, the rate of home price appreciation across the nation slowed by 1.0-2.0% when compared to the first quarter.

As of June, foreclosure sales have dropped to their lowest levels since November 2007. Of total existing home sales, about 11.7% are final sales of foreclosed homes, down from 12.5% in May and 13.9% a year ago. The for-sale markets are leading with signs of continued improvement in liquidity. June's asking price discount was 2.0% on average, down from 2.2% in May. Median time-on-market dropped quickly from 102 days in May to 91 days in June.

FNC's RPI is the mortgage industry's first hedonic price index built on a comprehensive database that blends public records of residential sales prices with real-time appraisals of property and neighborhood attributes. As a gauge of underlying home values, the RPI excludes final sales of REO and foreclosed homes, which are frequently sold with large price discounts, likely reflecting poor property conditions.

Based on recorded sales of non-distressed properties (existing and new homes) in the 100 largest metropolitan areas, the FNC national composite index shows that May home prices jumped at a seasonally unadjusted rate of 1.0% after relatively weak gains during the first quarter. The two narrower indices (30- and 10-MSA composites) show even larger price improvement in the nation's top housing markets, up 1.2% and 1.6% respectively. On an annual basis, the indices' year-over-year growth continues to decelerate after reaching a peak in February.

The chart below shows the latest price trends of each MSA in the FNC 30-MSA Composite. The majority of the component markets show sizable month-to-month price gain, led by New York (2.9%), Washington, D.C. (2.5%), and Miami, Riverside-CA, and Sacramento at 2.0% each. The price declines recorded in Dallas and Nashville are likely a result of short-term volatility in the data as there are no obvious signs of weakening housing fundamentals in those cities. Cleveland, Cincinnati, Columbus, and St. Louis home prices have not shown any measurable improvements since housing began to recover in the past two and half years. Meanwhile, annual price accelerations continue to moderate and the January 2012-to-date numbers continue to show a widening gap in the state of housing recovery nationwide.

This article was originally distributed on PRWeb. For the original version including any supplementary images or video, visit http://www.prweb.com/releases/2014/07/prweb12035403.htm

View photo

.

Contact:
FNC, Inc.
Bill Dabney
bdabney@fncinc.com
+1 (662) 236-8304

Rates

View Comments (0)

Recommended for You

  • Tax refunds will be cut for ACA recipients

    A significant benefit of the Affordable Care Act is the opportunity to receive money-saving tax credits up front to cut the overall cost of health insurance, but now hundreds of thousands of consumers could owe back some of that money next April.Those affected took advance payments of the premium…

    USA TODAY
  • Why Study at GCU's College of Education?

    Bachelor's degree programs at our College of Education are aligned to national standards & prepare you to sit for licensure exams. Learn more today!

    AdChoicesGrand Canyon UniversitySponsored
  • Here's What Mark Cuban Wishes He Knew About Money In His 20s

    AP Mark Cuban is the owner of the Dallas Mavericks. Billionaire investor and entrepreneur Mark Cuban is generous with his advice. When we asked him what he wishes he'd known about money in his 20s, he said:

    Business Insider
  • 10 Stocks Trading Under $10 With Huge Upside Potential

    Ballard Power Systems Inc. (BLDP) has been around forever as a fuel cell play. DryShips Inc. (DRYS) was started as Buy with a $5 price target at Deutsche Bank in a late-Monday call. The Deutsche Bank research on the sector was very positive, with 2015 expected to be a solid year for growth across…

    24/7 Wall St.
  • At a Glance: the business dealings of Jeb Bush

    Jeb Bush entered the Florida governor's mansion in 1999 with a net worth of $2 million, a relatively modest fortune compared with others in the Bush family. Within months of leaving office, he started a consulting firm, registered as a broker for Lehman Brothers and joined a number of corporate…

    Associated Press
  • Oklahoma City oil producer unveils new formation

    An Oklahoma City-based energy company has unveiled a new formation in south-central Oklahoma that the company's CEO said will elevate the state as an oil producer. Continental Resources Inc. said western Oklahoma's Springer Shale deposit is in the heart of the South Central Oklahoma Oil Province,…

    Associated Press
  • Bill Gates Is At Least $6 Billion Richer Than He Was Six Months Ago, But Not From Microsoft

    In July, Bill Gates may or may not have lost his title as the world's richest man. According to Forbes, Gates has a net worth of almost $82 billion, which puts him in the No. 2 spot behind Mexican telecom magnate Carlos Slim, who's worth $85.4 billion. According to Bloomberg, Gates is still the…

    Business Insider
  • Genworth Shares Could Surge 80%

    Genworth Financial has traveled a rocky road since the insurer was offloaded by General Electric in 2004. At the same time, the long-term care insurance (LTC) business went so sour that big competitors like MetLife (MET) chose to pull out completely while Genworth (GNW) persevered. Barron's saw…

    Barrons.com
  • Accident? "No Fault, No Foul" Coverage w/ Farmers

    Get the coverage that protects you when the unexpected happens. Get a quote from Farmers today.

    AdChoicesFarmers InsuranceSponsored
  • Play

    'Great Rotation' Into Stocks Runs Its Course

    Investors have been putting money back into bond funds as interest rates have unexpectedly dropped this year.

    Morningstar
  • Why Warren Buffett hates gold

    Warren Buffett didn't become one of the greatest investors of our generation by investing in gold. Just take a look at part of a speech Buffett gave at Harvard in 1998 when he said of gold:"(It) gets dug out of the ground in Africa or someplace. Anyone watching from Mars would be scratching their…

    USA TODAY
  • Baby Boomers Beware: You May Need a Birth Certificate to Buy a Home

    One way a mortgage lender verifies a borrower’s identity is by their Social Security Number. If your Social Security number was not issued at birth, and you’re applying for a mortgage, you may need extra documentation to back it up. Why Social Security Numbers Are a Hot-Button Issue

    Credit.com
  • Can I Actually Rent-to-Own a Home?

    For them, a rent-to-own arrangement can appear to be an attractive option. During that time, the landlord/seller sets aside part of each month’s rent payment into an escrow account. When the lease is up, provided the payments have been made in a timely manner, the renter can use the money in the…

    Credit.com
  • Bundesbank warns of risky ECB 'change of course'

    The head of Germany's powerful Bundesbank sharply criticised what he called a radical new approach by the European Central Bank of easy money, in an interview published Sunday. The central bank chief, Jens Weidmann, told Der Spiegel news weekly that the bank's recent moves of setting interest rates…

    AFP
  • Blackstone to pull out of Russia

    US private equity group Blackstone is "giving up on Russia", highlighting how even well-connected western investors are shying away from doing business in the country. The New York-based buyout group has been frustrated in its attempts to find deals in the country since its co-founder Stephen…

    Financial Times
  • Get a Move On With Budget Truck

    Starting college can be tough, but moving to your dorms doesn’t have to be! Make the move easier by renting a Budget Truck.

    AdChoicesBudget TruckSponsored
  • Which to pay off first: credit cards or student loans?

    Dear Liz: I have $8,000 in savings. Should I use it to pay the accrued interest on federal student loans that go into repayment soon? Or should I pay credit card debts of $662 at 11.24%, $3,840 at 7.99% and $3,000 at 6.99%?

    Los Angeles Times
  • 6 Financial Moves to Help You Sleep Better at Night

    Have you ever spent sleepless nights worrying about your finances? Between battling debt, working to pay off a mortgage and planning for retirement, there is plenty to think about. But don’t let these worries keep you up at night — take action. Check

    Credit.com
  • Saudi Regulator Clears Share Sale of Largest Lender NCB

    Saudi Arabia’s market regulator has approved the initial public offering of National Commercial Bank , the country’s largest lender by assets. The Capital Market Authority said the share sale would take place between Oct. 19 to Nov. 2, according to a statement on its website issued today. The rest…

    Bloomberg
  • Nissan defections reignite questions about future CEO

    A string of defections by top Nissan executives is reigniting longstanding questions about who will succeed chief executive Carlos Ghosn, the man widely credited with reinventing Japan's number-two automaker. Speculation about Nissan's future hit a fever pitch earlier this month after the…

    AFP
  • Private equity, not the mobile, killed Phones 4U

    Last week, after eight years in private equity ownership, Phones 4U, Britain's second-biggest independent mobile phone retailer, was placed in administration. John Caudwell, the Phones 4U founder who sold the business in 2006, has been quick to name the killers. In September, two of Britain's…

    Financial Times
  • Hedge Funds Caught in Iceland’s Failed Banks Closer to Pay Date

    Hedge funds caught in Iceland’s $85 billion banking failure may be closer to getting repaid. The administrators overseeing claims against bankrupt lender Glitnir Bank hf say there are signs recent talks with a government committee will make it easier to complete creditor settlements. “My impression…

    Bloomberg
  • Master's in Organizational Development-No GRE

    Get a master's degree 100% online in organizational development in 2 years! Top ranked by US News & World Report. No GRE or GMAT required. Apply now!

    AdChoicesAbilene Christian Univ.Sponsored
  • With Alibaba's big debut, 10 things to know

    China's e-commerce giant Alibaba began trading its shares Friday on the New York Stock Exchange. Here are ten things to know about Alibaba, and why its initial public offering made history: THE BIGGEST: Alibaba raised $21.8 billion in its debut, making it the biggest U.S.-listed IPO in history…

    Associated Press