Home Price Index Rises to 18-Month High
The Federal Housing Finance Agency (FHFA) reported Tuesday morning that U.S. home prices rose more than expected in October.
The Federal Housing Finance Agency (FHFA) reported Tuesday morning that U.S. home prices rose 0.6% month-over-month in October. Compared with October 2013, the house price index has gained 4.5%. The index was unchanged for September.
The consensus estimate for October called for an increase of 0.2%.
The FHFA monthly index is calculated using purchase prices of houses with mortgages that have been sold to or guaranteed by Fannie Mae or Freddie Mac. The index is 5.1% below its April 2007 peak and roughly equivalent to its level in September 2005.
For the past 12 months, gains have been greatest in the Pacific states, up 6%, and the least in the Middle Atlantic states, which are up 0.8%. The index rose in all nine Census Bureau divisions.
The October index value has reached an 18-month high of 215.4.
Home prices posted month-over-month gains in six Census Bureau divisions and declines in three.
ALSO READ: Mortgage Loan Rates Drop to 18-Month Low
Contact [email protected] for any questions or corrections.
Paul Ausick has been writing for 247Wallst.com for more than a decade. He has written extensively on investing in the energy, defense, and technology sectors. In a previous life, he wrote technical documentation and managed a marketing communications group in Silicon Valley.
He has a bachelor's degree in English from the University of Chicago and now lives in Montana, where he fishes for trout in the summer and stays inside during the winter.
