Home prices including distressed sales were up 5 percent on the year in September, according to CoreLogic's latest home price report. This is the seventh straight rise in home prices on an year-over-year basis and is biggest increase since 2006.
But prices were down 0.3 percent from August.
Excluding distressed sales (short sales, bank-owned sales, foreclosures) home prices were up 5 percent on the year, and up 0.5 percent on a month-over-month basis.
Mark Fleming, chief economist at CoreLogic believes home prices have improved because of lower inventories and increased buyer demand. In a press release he also added that the home price increases were largest in "former housing bubble states and energy-industry concentrated states".
Here are some details from the report:
- The five states with the biggest home price increases Arizona (18.7 percent), Idaho (13.1 percent), Nevada (11.0 percent), Hawaii (8.9 percent) and Utah (8.7 percent).
- Only four states saw home prices decline when excluding distressed sales. Alabama (-3.1 percent), New Jersey (-1.6 percent), Delaware (-1.4 percent) and Rhode Island (-1.3 percent).
- The Pending home price index (HPI) shows that October home prices including distressed sales should be up 5.7 percent year-over-year (YoY) and down 0.5 percent month-over-month (MoM).
- Excluding distressed sales October HPI should be up 6.3 percent YoY and 0.2 percent MoM.
Here's a chart from CoreLogic that shows home price trajectory since January 2002:
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