FNC: U.S. home prices up year-over-year for first time since bust
by MBJ Staff
Published: September 20,2012
OXFORD — FNC’s latest Residential Price Index (RPI) indicates U.S. residential property values continue to climb, capturing a fifth consecutive monthly gain as the result of rising demand.
More notably the index shows that for the first time since the housing market collapsed in 2007, home prices are beginning to recover on a year-over-year basis, highlighting a major turning point in market trends.
Nationwide, July home prices — based on recorded sales of non-distressed properties (existing and new homes) in the 100 largest metropolitan areas — were up at a seasonally unadjusted rate of 0.9 percent from the previous month. They were up 0.7 percent from a year ago in July 2011. Year to date, home prices rose more than 4.6 percent since January.
All three FNC RPI composites (the National, 30-MSA and 10-MSA indices) show a sustained up-trend, each with a cumulative gain of 3.0 percent in the last three months. The two broader indices are at their 12-month highs with positive year-to-year growth for the first time in five years.
The majority of the markets tracked by the FNC 30-MSA composite index show continued price strengthening in July. Month-to-month, home prices rose 4.4 percent in San Francisco, 3.6 percent -Detroit, 3.4 percent -Boston, 2.2 percent -San Diego and 2.0 percent -Riverside, Calif. If based on a three-month moving average (May, June, and July), Phoenix, Detroit, San Francisco, and Boston show the best price momentum averaging 2.8 percent, 2.6 percent, 2.1 percent and 2.0 percent per month, respectively. In the meantime, home prices in the Chicago area began to show signs of seasonal setback, down 0.9 percent in July after a 0.1 percent decline in June.
Nearly half of the component markets are exhibiting positive year-to-year growth, led by Phoenix at 10.1 percent followed by Detroit-7.2 percent, Houston-5.8 percent, Miami-4.3 percent and Dallas-4.0 percent. The Phoenix market continues to lead the housing rebound with its strong growth momentum in recent months. Between January and July, home prices in the Phoenix area rose 12.7 percent, or an average of 2.1 percent per month. Significant year-to-date price appreciation is also seen in Detroit-10.1 percent, San Francisco-9.1 percent, Dallas-8.7 percent, Boston-8.1 percent and Washington, D.C.-7.7 percent.
To sign up for Mississippi Business Daily Updates, click here.
Twang & Tourism: The Country Music Trail
Still planning that summer vacation?
FOLLOW THE MBJ ON TWITTERMy Tweets
Top Posts & Pages
- Family launches Billups Coffee with headquarters in Oxford
- Chris McDaniel responds to radio show audio clip
- ‘Just the beginning’ — Venture Technologies merging, acquiring companies
- Man indicted, accused of bankruptcy fraud
- Running luxury car dealerships, like Mercedes of Jackson, comes naturally to Trudy Higginbotham Moody
- Grenada native Donna Tartt wins Pulitzer Prize for 'The Goldfinch'
- TODD SMITH — Taco Bell and McDonalds take breakfast war viral; how to write killer news releases and more
- Fight between county, insurer over courthouse fire continues
- Judge to rule on release of Kemper power plant data
- Chaney drops lawsuit against National Flood Insurance Program