Global| Nov 25 2015U.S. FHFA Home Price Index Firmer in September
Summary
The U.S. House Price Index from the Federal Housing Finance Agency (FHFA) increased 0.8% in September (6.1% y/y). This gain followed a much more modest 0.3% in August and was indeed the strongest monthly increase since March 2013. For [...]
The U.S. House Price Index from the Federal Housing Finance Agency (FHFA) increased 0.8% in September (6.1% y/y). This gain followed a much more modest 0.3% in August and was indeed the strongest monthly increase since March 2013. For the third quarter, the index gained 1.3% over Q2, that is, an annual rate of 5.2%, and was 5.7% above Q3 2014. This index covers prices on actual purchases. An associated quarterly index including appraisals on refinancings was up 1.6% in Q3 and 5.6% over a year ago.
The purchase price index was strongest in September in the New England states, where it rose 1.4% (4.4% y/y); that, however, followed just 0.3% in August and a decline of 1.1% in July. Several other regions had similar patterns of rebound in September after sluggishness in August. East North Central states saw 1.2% in September (4.8% y/y) after declines in August of 0.4% and July, 0.1%. Pacific states' prices were also up 1.2% in September (8.3% y/y), but that followed moderate gains of 0.6% in August and 0.5% in July. In the Middle Atlantic region, prices increase 0.9% in September, rebounding from -0.1% in August, but a stronger 1.0% in July. That region's year-to-year gain was the weakest overall, at 3.6%.
In the Mountain states, prices had a steadier monthly pattern, with September up 0.9%, August, 0.4% and July, 1.5%. These gains made the year-on-year increase 9.3%, the strongest performance among the nine regions. West South Central states had an 0.8% gain in September (6.5% y/y), following 0.2% in August and 0.5% in July.
There were slowdowns in the other regions, although no area showed a decline in September. Prices in the West North Central states edged up 0.1% (5.1% y/y) after stronger gains of 1.0% in August and 0.8% in July. East North Central states were also up just 0.1% in September (4.5% y/y) after 0.3% in August and 0.7% in July. The South Atlantic region saw prices up 0.2% in September (7.0% y/y), with August at 0.6% and July at 0.3%.
The FHFA house price index is a weighted repeat sales index. It measures average price changes in repeat sales of the same property. As noted above, an associated quarterly index also includes refinancings on the same kinds of properties. The indexes are based on transactions involving conforming, conventional mortgages purchased or securitized by Fannie Mae or Freddie Mac. Only mortgage transactions on single-family properties are included. The FHFA data are available in Haver's USECON database.
| FHFA U.S. House Price Index Purchase Only (SA %) | Sep | Aug | Jul | Sep Y/Y | 2014 | 2013 | 2012 |
|---|---|---|---|---|---|---|---|
| Total | 0.8 | 0.3 | 0.5 | 6.1 | 5.6 | 7.5 | 3.3 |
| Mountain | 0.9 | 0.4 | 1.5 | 9.3 | 7.5 | 12.3 | 7.8 |
| Pacific | 1.2 | 0.6 | 0.5 | 8.3 | 9.6 | 16.1 | 4.9 |
| West South Central | 0.8 | 0.2 | 0.5 | 6.5 | 5.8 | 6.2 | 4.0 |
| South Atlantic | 0.2 | 0.6 | 0.3 | 7.0 | 6.0 | 8.1 | 3.8 |
| East North Central | 1.2 | -0.4 | -0.1 | 4.8 | 4.8 | 5.4 | 2.1 |
| West North Central | 0.1 | 1.0 | 0.8 | 5.1 | 4.2 | 4.9 | 3.2 |
| East South Central | 0.1 | 0.3 | 0.7 | 4.5 | 3.7 | 4.4 | 2.2 |
| Middle Atlantic | 0.9 | -0.1 | 1.0 | 3.6 | 2.4 | 2.8 | -0.1 |
| New England | 1.4 | 0.3 | -1.1 | 4.4 | 3.2 | 3.9 | -0.2 |
|
|
Carol Stone, CBE
AuthorMore in Author Profile »Carol Stone, CBE came to Haver Analytics in 2003 following more than 35 years as a financial market economist at major Wall Street financial institutions, most especially Merrill Lynch and Nomura Securities. She has broad experience in analysis and forecasting of flow-of-funds accounts, the federal budget and Federal Reserve operations. At Nomura Securites, among other duties, she developed various indicator forecasting tools and edited a daily global publication produced in London and New York for readers in Tokyo. At Haver Analytics, Carol is a member of the Research Department, aiding database managers with research and documentation efforts, as well as posting commentary on select economic reports. In addition, she conducts Ways-of-the-World, a blog on economic issues for an Episcopal-Church-affiliated website, The Geranium Farm. During her career, Carol served as an officer of the Money Marketeers and the Downtown Economists Club. She has a PhD from NYU's Stern School of Business. She lives in Brooklyn, New York, and has a weekend home on Long Island.
More Economy in Brief
