Tag Archives: business

Home prices show one of the strongest annual price gains in 8 years

25 Sep

Existing-home sales in August reached their highest level in six years according to the National Association of Realtors (NAR).

 

Total existing-home sales rose 1.7% to a seasonally adjusted annual rate of 5.48 million in August. This was an increase from July’s 5.39 million, and 13.2% higher year-over-year compared to August 2012.

 

Total housing inventory at the end of August increased 0.4% to 2.25 million existing homes available for sale. This figure represents a 4.9-month supply at the current sales pace, down from a 5.0-month supply in July.

 

Meanwhile, the national average commitment rate for a 30-year conventional fixed-rate mortgage rose to 4.46% in August, and is the highest since July 2011 when it was 4.55%. In August 2012, the rate was 3.60%.

The national median existing-home price for all housing types was $212,100 in August, up 14.7% from year ago levels, and the strongest year-over-year appreciation since October 2005, when the median price rose 16.6%.

 

August’s home price increase was also the ninth consecutive month of double-digit year-over-year increases, and marks 18 consecutive months of annual gains.

 

Rising home values will encourage more people to sell as homeowners’ equity continues to improve, says NAR President Gary Thomas.

 

“Most of those owners also will be buying another home, but higher levels of new home construction going into 2014, combined with some reduction in demand from less favorable affordability conditions, will help to moderate price growth to more sustainable levels,” he said.

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Home Values See Increase

3 May

adapted from Reverse Mortgage Daily April 30, 2013

Case-Shiller: Home Prices Rise Near 10%, Best Showing since 2006.

Home prices rose nearly 10% national on a year-over-year basis according to the latest reading from the S&P/Case-Shiller home price indices.

 

Prices showed an uptick of 8.6% year-over-year in February for Case-Shiller’s 10-city composite index and 9.3% for its 20-city composite index, indicating a home price recovery is holding strong.

 

“Home prices continue to show solid increases across all 20 cities,” said David Blitzer, Chairman of the Index Committee at S&P Dow Jones Indices. “The 10- and 20-City Composites recorded their highest annual growth rates since May 2006; seasonally adjusted monthly data show all 20 cities saw higher prices for two months in a row – the last time that happened was in early 2005.”

 

Prices rose slightly from January to February with the 10- and 20-city indexes showing a .4% and .3% uptick, respectively. Regionally, Phoenix represented a standout market with 23% year-over-year growth while Atlanta and Dallas had the highest annual growth rates in the history of the index.

 

“Phoenix, San Francisco, Las Vegas and Atlanta were the four cities with the highest year-over-year price increases,” Blitzer said. “Atlanta recovered from a wave of foreclosures in 2012 while the other three were among the hardest hit in the housing collapse. At the other end of the rankings, three older cities – New York, Boston and Chicago – saw the smallest year-over-year price improvements.”

 

The data indicates housing is still on the upswing, despite mixed signals among multifamily indicators.