prices jumped by 1.8 percent nationally during the month of July. CoreLogic reported that values on its Home
Price Index (HPI) which excludes sales of distressed homes, rose in every state
during the month, and when distressed prices are included only one state,
Delaware, posted a drop in its HPI.
rate of increase on the HPI is 12.4 percent and is the 17th
consecutive month in which the year-over-year index values have increased on a
national basis. When distressed sales
(short sales and lender-owned real estate or ORE) are included the annual appreciation
is 11.4 percent and the increase from June was 1.7 percent.
with the highest annual appreciation are largely those that suffered the
greatest hits to home values since the bubble burst in 2007 and most were also
hard-hit by foreclosures. Including
distressed sales, Nevada's prices have risen 27 percent, California is up 23.2
percent from July 2012 followed by Arizona (17 percent), Wyoming (16.4 percent),
and Oregon 15 percent.
distressed sales are excluded from the analysis Nevada, California, and Arizona
still lead the way with annual increases of 24.2 percent, 20.2 percent, and
14.9 percent respectively. Utah and
Florida round out the top five, each with annual increases of 13.5 percent.
"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.
"Nationally, home prices are now within 18 percent of their peak levels
reached in April of 2006."
CoreLogic expects the price
acceleration to slow a bit in August but still increase by 0.4 percent from
July including distressed sales and 1.2 percent with those sales excluded. On an annual basis CoreLogic's Pending HPI
indicates an increase including distressed sales of 12.3 percent and 12.2
percent excluding distressed sales. The Pending
HPI is a proprietary metric based on Multiple Listing Service (MLS) data that
measure price changes for the most recent month.
"Home prices continued to surge
in July," said Dr. Mark Fleming, chief economist for CoreLogic.
"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."
Including distressed transactions,
the peak-to-current change in the national HPI (from April 2006 to July 2013)
was -17.6 percent. Excluding distressed transactions, the peak-to-current
change in the HPI for the same period was -12.9 percent. Despite recent double digit increases Nevada
is still down 43 percent from its pre-crash peak, Florida is off by 37.4
percent, and Arizona by 32.5 percent.
Other states that are far from recovery are Rhode Island (-29.7 percent)
and Michigan (-27.7 percent).
Of the top 100 Core Based
Statistical Areas (CBSAs) measured by population, 99 were showing
year-over-year increases in July, equaling the measure in June 2013.