Global| Sep 23 2014U.S. FHFA Home Price Inflation Continues To Ease
by:Tom Moeller
|in:Economy in Brief
Summary
The U.S. House Price Index from the Federal Housing and Finance Agency (FHFA) ticked 0.1% higher (4.5% y/y) during July following a 0.3% June gain, revised from 0.4%. The latest increase was the weakest in three months and lowered the [...]
The U.S. House Price Index from the Federal Housing and Finance Agency (FHFA) ticked 0.1% higher (4.5% y/y) during July following a 0.3% June gain, revised from 0.4%. The latest increase was the weakest in three months and lowered the y/y rise to 4.5%, its lowest gain since September 2012. During the last twelve months, prices remained the strongest in the Pacific region, but the 7.3% y/y rate of increase was down from 20.3% last summer. Home price inflation in the Mountain region also eased to 5.9% y/y during July from the April 2013 high of 14.2%.
Home price inflation eased elsewhere in the country. In the South Atlantic region, home prices advanced 4.9% y/y compared to 9.2% one year ago. Home price growth in the Middle Atlantic region fell to 1.6% y/y from 5.3% and in the West North Central region, the 3.2% y/y rise compared to a high of 6.7%.
The FHFA house price index is a weighted repeat sales index. It measures average price changes in repeat sales or refinancings on the same properties. It is based on transactions involving conforming, conventional mortgages purchased or securitized by Fannie Mae or Freddie Mac. Only mortgage transactions on single family properties are included. The FHFA data is available in Haver's USECON database.
| FHFA U.S. House Price Index Purchase Only (SA %) | Jul | Jun | May | Y/Y | 2013 | 2012 | 2011 |
|---|---|---|---|---|---|---|---|
| Total | 0.1 | 0.3 | 0.2 | 4.5 | 7.7 | 3.4 | -4.0 |
| Pacific | -0.0 | 0.6 | 0.3 | 7.3 | 16.5 | 4.9 | -6.8 |
| Mountain | -0.3 | 0.1 | 0.2 | 5.9 | 12.7 | 8.1 | -6.6 |
| South Atlantic | 0.1 | 0.9 | -0.1 | 4.9 | 8.2 | 4.0 | -5.1 |
| West South Central | 0.3 | -0.2 | 1.0 | 4.9 | 6.2 | 4.3 | -1.1 |
| East North Central | 0.4 | 0.0 | -0.2 | 3.8 | 5.5 | 2.2 | -3.6 |
| East South Central | 0.2 | 0.1 | -0.6 | 3.4 | 4.5 | 2.5 | -2.6 |
| New England | 0.4 | 0.3 | 0.9 | 3.3 | 4.0 | -0.1 | -2.2 |
| West North Central | 0.0 | -0.5 | 0.3 | 3.2 | 5.0 | 3.4 | -3.2 |
| Middle Atlantic | -0.5 | 0.4 | 0.8 | 1.6 | 2.9 | 0.0 | -3.1 |
New England: Maine, New Hampshire, Vermont, Massachusetts, Rhode Island and Connecticut.
Middle Atlantic: New York, New Jersey and Pennsylvania.
East North Central: Michigan, Wisconsin, Illinois, Indiana and Ohio.
West North Central: North Dakota, South Dakota, Minnesota, Nebraska, Iowa, Kansas and Missouri.
South Atlantic: Delaware, Maryland, D.C., Virginia, West Virginia, North Carolina, South Carolina, GA & FL
East South Central: Kentucky, Tennessee, Mississippi and Alabama.
West South Central: Oklahoma, Arkansas, Texas and Louisiana.
Mountain: Montana, Idaho, Wyoming, Nevada, Utah, Colorado, Arizona and New Mexico.
Pacific: Hawaii, Alaska, Washington, Oregon and California.
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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