Global| Nov 29 2007Home Price Appreciation Slowest in Three Years
by:Tom Moeller
|in:Economy in Brief
Summary
According to the Office of Federal Housing Enterprise Oversight (OFHEO), home prices in the U.S. fell last quarter and that was the first q/q decline since 1994. The decline pulled the y/y change in prices to a still positive 1.7% but [...]
According to the Office of Federal Housing Enterprise Oversight (OFHEO), home prices in the U.S. fell last quarter and that was the first q/q decline since 1994. The decline pulled the y/y change in prices to a still positive 1.7% but that overall rate of appreciation is down from the double digit rates of gain during 2004 and 2005.
The House Price Indices in this report are weighted indexes based on repeat sales or refinancings using data provided by Fannie Mae or Freddie Mac. The overall figures are available in Haver's USECON data base and the state figures are in USREGIONAL
Price declines were scattered throughout the country. Job cutbacks in the auto industry helped lower prices in Michigan for the sixth consecutive quarter and in New York prices fell 0.5%. Prices in Florida fell for only the second quarter but the y/y rate of gain of 1.3% compares to staggering rates of growth in earlier years. Prices also fell in Massachusetts for the fourth quarter in the last five (-1.0% y/y) and prices in Nevada fell 1.6% (-1.5% y/y).
The latest report from the Office of Federal Housing Enterprise Oversight (OFHEO) can be found here.
Defining and Detecting Predatory Lending from the Federal Reserve Bank of New York is available here.
| House Price Index (OFHEO) | 3Q '07 | 2Q '07 | Y/Y | 2006 | 2005 | 2004 |
|---|---|---|---|---|---|---|
| United States | -0.4% | 0.1% | 1.8% | 8.8% | 12.9% | 10.6% |
| California | -1.2% | -0.7% | -1.4% | 11.7% | 23.3% | 22.2% |
| New Jersey | -0.3% | 0.5% | 1.9% | 10.2% | 16.0% | 14.9% |
| New York | -0.5% | 0.6% | 2.1% | 8.5% | 13.6% | 13.3% |
| Michigan | -1.4% | -0.3% | -1.4% | 0.2% | 4.0% | 4.2% |
| Florida | -0.8% | -0.2% | 1.3% | 17.6% | 25.7% | 17.0% |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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