Annual Home Price Gains at Widest Margin in Over Six Years

October 10, 2012 (Chris Moore)

National monthly home prices improved year-over-year by the widest margin since July 2006 according to CoreLogic’s October Home Price Index (HPI) with all but six states reporting price gains in August.

Including distressed property sales, home prices in August were 0.3 percent higher than in July and were 4.6 percent higher than in August of last year. It was the sixth consecutive month that sales have increased on both a monthly and yearly basis.

Excluding distressed properties, monthly home values improved by one percent and were 4.9 percent higher than in August of last year.

Nevada (-54.7 percent) continued to post the largest decline in home prices since the market peaked in 2006 followed by Florida (-44.3 percent), Arizona (-42.0 percent), California (-37.7 percent) and Michigan (-36.5 percent). That was little changed from last month’s list of worst performing states which included Nevada (-56.0 percent), Florida (-44.2 percent), Arizona (-42.8 percent), California (-38.0 percent) and Michigan (-37.4 percent).

Since the market peak in August 2006, home prices have declined 26.7 percent when including distressed property sales and when excluding distressed property sales, home prices have dropped 19.9 percent since the market peak.

CoreLogic defines distressed property sales as short sales and real estate owned (REO) transactions.

Twenty out of the top 100 Core Based Statistical Areas (CBSAs) experienced year-over-year price declines in August, which was six less than the revised amount reported in July.

The states with the highest year-over-year (YOY) appreciation including distressed sales were: Arizona (+18.2 percent), Idaho (+10.4 percent), Nevada (+9.0 percent), Utah (+8.9 percent) and Hawaii (+8.0 percent). In July, those states were: Arizona (+16.6 percent), Idaho (10.0 percent), Utah (+9.3 percent), South Dakota (+8.3 percent) and Colorado (+7.3 percent).

The states with the greatest YOY depreciation including distressed sales were: Rhode Island (-2.6 percent), Illinois (-2.3 percent), New Jersey (-1.4 percent), Alabama (-0.7 percent) and Connecticut (-0.5 percent). In July, those states were: Delaware (-4.8 percent), Alabama (-4.6 percent), Rhode Island (-2.2 percent), Connecticut (-1.7 percent) and Illinois (-1.7 percent).

The states with the highest YOY appreciation excluding distressed sales were: Arizona (+13.0 percent), Utah (+10.0 percent), Montana (+8.8 percent), Idaho (+8.6 percent) and North Dakota (+7.7 percent). In July, those states were: Arizona (+11.3 percent), Utah (+10.5 percent), Montana (+9.1 percent), South Dakota (+8.6 percent) and North Dakota (+6.9 percent).

The states with the greatest YOY depreciation excluding distressed sales were: Rhode Island (-1.7 percent), New Jersey (-1.4 percent), Alabama (-0.2 percent). In July, those states were: Delaware (-3.5 percent), Alabama (-2.4 percent), New Jersey (-1.2 percent), West Virginia (-0.5 percent) and Connecticut (-0.2 percent).

Tags: CoreLogic, home prices, distressed property sales, appreciation, depreciation

Sources:
CoreLogic