U.S. House Price Index: Prices Rose 1.7 percent in the first quarter

U.S. house prices rose 1.7 percent in the first quarter of 2018 according to the Federal Housing Finance Agency (FHFA) House Price Index (HPI). House prices rose 6.9 percent from the first quarter of 2017 to the first quarter of 2018. FHFA's seasonally adjusted monthly index for March was up 0.1 percent from February.

The HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac.

See video for the first quarter featuring Dr. Doerner.

Significant Findings

Home prices rose in all 50 states and the District of Columbia between the first quarter of 2017 and the first quarter of 2018. The top five areas in annual appreciation were: 1) Nevada 13.7 percent; 2) Washington 13.1 percent; 3) Idaho 11.1 percent; 4) Colorado 10.6 percent; and 5) Utah 9.9 percent.

Home prices rose in each of the 100 largest metropolitan areas in the U.S. over the last four quarters. Annual price increases were greatest in Las Vegas-Henderson-Paradise, NV, where prices increased by 17.1 percent. Prices were weakest in Tulsa, OK where they rose 0.8 percent.

Of the nine census divisions, the Pacific division experienced the strongest four quarter appreciation, posting a 9.5 percent gain between the first quarters of 2017 and 2018 and a 2.6 percent increase in the first quarter of 2018. Annual house price appreciation was weakest in the East South Central division, where prices rose 5.3 percent between the first quarters of 2017 and 2018.

U.S. house prices rise 1.6 percent in second quarter

U.S. house prices rose 1.6 percent in the second quarter of 2017 according to the Federal Housing Finance Agency (FHFA) House Price Index (HPI). House prices rose 6.6 percent from the second quarter of 2016 to the second quarter of 2017. FHFA's seasonally adjusted monthly index for June was up 0.1 percent from May.

The HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. FHFA has produced a video of highlights for this quarter.

"U.S. house prices rose in most states during the second quarter," said FHFA Senior Economist William Doerner. "New home sales are climbing but, relative to the overall population, they still remain low from a historical perspective. The tight inventory is a major explanation for why house prices have been increasing every quarter over the last six years."

Significant Findings

• Home prices rose in 48 states and the District of Columbia between the second quarter of 2016 and the second quarter of 2017. The top five states in annual appreciation were: 1) Washington 12.4 percent; 2) Colorado 10.4 percent; 3) Idaho 10.3 percent; 4) Florida 9.4 percent; and 5) Utah 9.2 percent.
• Among the 100 largest metropolitan areas in the U.S., annual price increases were greatest in the Seattle-Bellevue-Everett, WA (MSAD), where prices increased by 15.7 percent. Prices were weakest in New Haven-Milford, CT, where they rose by 0.1 percent.
• Of the nine census divisions, the Pacific division experienced the strongest increase in the second quarter, posting a 2.6 percent quarterly increase and a 8.9 percent increase since the second quarter of last year. House price appreciation was weakest in the Middle Atlantic division, where prices rose 0.8 percent from the last quarter. 

In South Carolina, house prices rose 6.3 percent year-over-year.  In Greenville, prices rose 4.7 percent, but fell 1 percent from the first quarter to the second quarter.

House prices jump 6.9 percent year over year

U.S. house prices rose in May, up 0.4 percent from the previous month, according to the Federal Housing Finance Agency (FHFA) seasonally adjusted monthly House Price Index (HPI). The previously reported 0.7 percent increase in April was revised downward to reflect a 0.6 percent increase.

The FHFA monthly HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. From May 2016 to May 2017, house prices were up 6.9 percent.

For the nine census divisions, seasonally adjusted monthly price changes from April 2017 to May 2017 ranged from -0.5 percent in the Middle Atlantic division to 1.0 percent in the West South Central division. The 12-month changes were all positive, ranging from 4.0 percent in the Middle Atlantic division to 8.7 percent in the Pacific division.

FHFA: House Price Index rises in April

U.S. house prices rose in April, up 0.7 percent from the previous month, according to the Federal Housing Finance Agency (FHFA) seasonally adjusted monthly House Price Index (HPI). The previously reported 0.6 percent increase in March was revised upward to reflect a 0.7 percent increase as well.

The FHFA monthly HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. From April 2016 to April 2017, house prices were up 6.8 percent.

For the nine census divisions, seasonally adjusted monthly price changes from March 2017 to April 2017 ranged from -0.1 percent in the East South Central division to 1.6 percent in the West South Central division. The 12-month changes were all positive, ranging from 4.7 percent in the West North Central division to 8.9 percent in the Mountain division.

U.S. house prices rise 1.4 percent in the first quarter

U.S. house prices rose 1.4 percent in the first quarter of 2017 according to the Federal Housing Finance Agency (FHFA) House Price Index (HPI). House prices rose 6.0 percent from the first quarter of 2016 to the first quarter of 2017. FHFA's seasonally adjusted monthly index for March was up 0.6 percent from February.

The HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. FHFA has produced a video of highlights for this quarter.

"The steep, multi-year rise in U.S. home prices continued in the first quarter," said FHFA Deputy Chief Economist Andrew Leventis. "Mortgage rates during the quarter remained slightly elevated relative to most of last year, but demand for homes remained very strong. With housing inventories still languishing at extremely low levels, the strong demand led to another exceptionally large quarterly price increase."

Significant Findings

• Home prices rose in 48 states and the District of Columbia between the first quarter of 2016 and the first quarter of 2017. The top five areas in annual appreciation were: 1) District of Columbia 13.9 percent; 2) Colorado 10.7 percent; 3) Idaho 10.3 percent; 4)Washington 10.2 percent; and 5) New Hampshire 9.5 percent.
• Among the 100 largest metropolitan areas in the U.S., annual price increases were greatest in the Grand Rapids-Wyoming, MI, where prices increased by 13.7 percent. Prices were weakest in San Francisco-Redwood City-South San Francisco, CA (MSAD), where they fell 2.5 percent.
• Of the nine census divisions, the Pacific division experienced the strongest increase in the first quarter, posting a 2.0 percent quarterly increase and a 7.7 percent increase since the first quarter of last year. House price appreciation was weakest in theMiddle Atlantic division, where prices rose 1.0 percent from the last quarter.

FHFA: House prices were up in February

U.S. house prices rose in February according to the FHFA seasonally adjusted monthly House Price Index (HPI). From February 2016 to February 2017, house prices were up 6.4 percent.

For the nine census divisions, seasonally adjusted monthly price changes from January 2017 to February 2017 ranged from -0.1 percent in the South Atlantic division to +1.8 percent in the East South Central division. South Carolina is in the South Atlantic Division.

The 12-month changes were all positive, ranging from +4.6 percent in the Middle Atlantic division to +9.5 percent in the Mountain division.

FHFA House Price Index Up 0.5 Percent in November

From the Federal Housing Finance Agency:

U.S. house prices rose in November, up 0.5 percent on a seasonally adjusted basis from the previous month, according to the Federal Housing Finance Agency monthly House Price Index. The previously reported 0.4 percent increase in October was revised downward to a 0.3 percent increase.

The Federal Housing Finance Agency monthly House Price Index is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. From November 2015 to November 2016, house prices were up 6.1 percent.

For the nine census divisions, seasonally adjusted monthly price changes from October 2016 to November 2016 ranged from -0.2 percent in the South Atlantic division to +1.5 percent in the Pacific division. The 12-month changes were all positive, ranging from +4.7 percent in the Middle Atlantic division to +7.7 percent in the Pacific division.

Monthly index values and appreciation rate estimates for recent periods are provided in the table and graphs on the following pages. Complete historical downloadable data and House Price Index release dates for 2017 are available on the House Price Index page.

For detailed information on the House Price Index, see House Price Index Frequently Asked Questions. The next House Price Index report will be released February 23, 2017 and will include quarterly data for the fourth quarter of 2016 and monthly data through December 2016.

U.S. House Prices Rise 1.5 Percent in Third Quarter

From the Federal Housing Finance Agency:

U.S. house prices rose 1.5 percent in the third quarter of 2016 according to the Federal Housing Finance Agency House Price Index. House prices rose 6.1 percent from the third quarter of 2015 to the third quarter of 2016. The Federal Housing Finance Agency's seasonally adjusted monthly index for September was up 0.6 percent from August. The House Price Index is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. The Federal Housing Finance Agency has produced a video of highlights for this quarter.

"Our data indicate that the deceleration in home price growth that we observed in late spring proved to be short-lived," said Federal Housing Finance Agency Supervisory Economist Andrew Leventis. "While price growth in select markets has cooled somewhat, for the U.S. as a whole, the third quarter showed no evidence of a widespread slowdown."

While the House Price Index rose 6.1 percent from the third quarter of 2015 to the third quarter of 2016, prices of other goods and services were nearly unchanged. The inflation-adjusted price of homes rose approximately 6.0 percent over the last year.

Significant Findings
Home prices rose in 49 states between the third quarter of 2015 and the third quarter of 2016. Delaware and the District of Columbia were the only areas not to see price increases. The top five states in annual appreciation were: 1) Florida 10.7 percent; 2) Oregon 10.4 percent; 3) Washington 10.4 percent; 4) Colorado 10.0 percent; and 5) Utah 9.5 percent.
Among the 100 most populated metropolitan areas in the U.S., annual price increases were greatest in the Tacoma-Lakewood, WA (MSAD), where prices increased by 12.9 percent. Prices were weakest in New Haven-Milford, CT, where they fell 1.7 percent.
Of the nine census divisions, the South Atlantic division experienced the strongest increase in the third quarter, posting a 1.8 percent quarterly increase and a 7.1 percent increase since the third quarter of last year. House price appreciation was weakest in the New England division, where prices rose 0.8 percent from the last quarter.


Tables and graphs showing home price statistics for metropolitan areas, states, census divisions, and the U.S. as a whole are included on the following pages.


Other Price Indexes

Most statistics in the quarterly house price index report reference price changes computed by Federal Housing Finance Agency's basic "purchase-only" House Price Index. In some cases, however, the reported statistics reference alternative price measures. The Federal Housing Finance Agency publishes – and makes available for download – three additional house price indexes beyond the basic "purchase-only" series. Although they use the same general methodology, the three alternatives rely on slightly different datasets as follows:
"Distress-Free" house price index. Sales of bank-owned properties and short sales are removed from the purchase-only dataset prior to estimation of the index.
"Expanded-Data" house price index. Sales price information sourced from county recorder offices and from Federal Housing Agency-backed mortgages are added to the purchase-only data sample. This index is used annually to adjust the maximum conforming loan limits, which dictate the dollar amount of loans that can be acquired by Fannie Mae and Freddie Mac.
"All-Transactions" house price index. Appraisal values from refinance mortgages are added to the purchase-only data sample.

Data constraints preclude the production of all types of indexes for every geographic area, but multiple index types are generally available. For individual states, for instance, three types of indexes are available. The various indexes tend to correlate closely over the long-term, but short-term differences can be significant.

Release of New Experimental County Indexes

Beginning with this release, Federal Housing Finance Agency is publishing a set of experimental annual house price indexes for counties across the country from 1975-2015. The indexes are constructed using the typical "repeat-transactions" methodology Federal Housing Finance Agency already uses. Unlike Federal Housing Finance Agency's other price indexes, however, the county indexes are annual price measures, meaning that a single index value is produced for each year. The county indexes complement a set of previously released five-digit ZIP code measures, and may be valuable to analysts seeking data on localized home price movements.

Background

Federal Housing Finance Agency's House Price Index tracks changes in average home prices by analyzing changes in home values for the individual properties. The underlying "repeat-transactions" methodology constructs index estimates by statistically evaluating price appreciation (or depreciation) for homes with multiple values over time. The purchase-only House Price Index uses sales price information from Fannie Mae- and Freddie Mac-purchased and Enterprise-guaranteed mortgages originated over the past 41 years. The purchase-only House Price Index is estimated with more than seven million repeat transactions. A video shows the basic methodology behind the Federal Housing Finance Agency House Price Index.

U.S. House Price Index - July 2016

From the Federal Housing Finance Agency:

The Federal Housing Finance Agency House Price Index reported a 0.5 percent increase in U.S. house prices in July from the previous month. From July 2015 to July 2016, house prices were up 5.8 percent. For the nine census divisions, seasonally adjusted monthly price changes from June 2016 to July 2016 ranged from +0.2 percent in the Middle Atlantic division to +1.0 percent in the East South Central division. The 12-month changes were all also positive, ranging from +2.6 percent in the Middle Atlantic division to +7.7 percent in the Pacific division.

Monthly index values and appreciation rate estimates for recent periods are provided in the table and graphs in the attachments.

U.S. House Prices Rise 1.2 Percent in Second Quarter; Some Signs of Deceleration

From the Federal Housing Finance Agency:

U.S. house prices rose 1.2 percent in the second quarter of 2016 according to the Federal Housing Finance Agency House Price Index. House prices rose 5.6 percent from the second quarter of 2015 to the second quarter of 2016. Federal Housing Finance Agency’s seasonally adjusted monthly index for June was up 0.2 percent from May. The House Price Index is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. Federal Housing Finance Agency has produced a video of highlights for this quarter.

“Although the appreciation rate for the second quarter was of similar magnitude to what we’ve been seeing for several years now, a close look at the month-over-month price changes during the quarter reveals a potentially significant market shift,” said Federal Housing Finance Agency Supervisory Economist Andrew Leventis. “Our monthly price index indicates that in each of the three months of the quarter, the increase was only 0.2 percent. This is a much more modest pace of appreciation than we’ve seen in some time and most likely reflects accumulated pressures from significantly reduced home affordability,” Leventis said.

While the House Price Index rose 5.6 percent from the second quarter of 2015 to the second quarter of 2016, prices of other goods and services were nearly unchanged. The inflation-adjusted price of homes rose approximately 5.7 percent over the last year.

Significant Findings

• Home prices rose in every state except Vermont between the second quarter of 2015 and the second quarter of 2016. The top five states in annual appreciation were: 1) Oregon 11.7 percent; 2) Washington 10.3 percent; 3) Colorado 10.2 percent; 4) Florida 10.0 percent; and 5) Nevada 9.6 percent.
• Among the 100 most populated metropolitan areas in the U.S., annual price increases were greatest in North Port-Sarasota-Bradenton, FL, where prices increased by 15.7 percent. Prices were weakest in Bridgeport-Stamford-Norwalk, CT, where they fell 3.3 percent.
• Of the nine census divisions, the Mountain division experienced the strongest increase in the second quarter, posting a 1.9 percent quarterly increase and an 8.1 percent increase since the second quarter of last year. House price appreciation was weakest in the Middle Atlantic division, where prices rose 0.6 percent from the last quarter. 

Tables and graphs showing home price statistics for metropolitan areas, states, census divisions, and the U.S. as a whole are included on the following pages.

Other Price Indexes

Most statistics in the quarterly house price index report reference price changes computed by Federal Housing Finance Agency’s basic “purchase-only” House Price Index. In some cases, however, the reported statistics reference alternative price measures. Federal Housing Finance Agency publishes – and makes available for download – three additional home price indexes beyond the basic “purchase-only” series. Although they use the same general methodology, the three alternatives rely on slightly different datasets as follows:

• “Distress-Free” house price indexes. Sales of bank-owned properties and short sales are removed from the purchase-only dataset prior to estimation of the indexes.
• “Expanded-Data” house price indexes. Sales price information sourced from county recorder offices and from FHA-backed mortgages are added to the purchase-only data sample. This index is used annually to adjust the maximum conforming loan limits, which constrain the size of loans that can be acquired by Fannie Mae and Freddie Mac.
• “All-Transactions” house price indexes. Appraisal values from refinance mortgages are added to the purchase-only data sample.

Data constraints preclude the production of all types of indexes for every geographic area, but multiple index types are generally available. For individual states, for instance, three types of indexes are available. The various indexes tend to correlate closely over the long-term, but short-term differences can be significant.

Background

Federal Housing Finance Agency’s House Price Index tracks changes in average home prices by analyzing changes in home values for the individual properties. The underlying “repeat-transactions” methodology constructs index estimates by statistically evaluating price appreciation (or depreciation) for homes with multiple values over time. The purchase-only House Price Index uses sales price information from Fannie Mae- and Freddie Mac-purchased and Enterprise-guaranteed mortgages originated over the past 41 years. The purchase-only House Price Index is estimated with over seven million repeat-transactions.

FHFA House Price Index Up 0.2 Percent in May

From the Federal Housing Finance Agency:

U.S. house prices rose in May, up 0.2 percent on a seasonally adjusted basis from the previous month, according to the Federal Housing Finance Agency monthly House Price Index. The previously reported 0.2 percent increase in April was revised upward to reflect a 0.3 percent increase.

The Federal Housing Finance Agency monthly House Price Index is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. From May 2015 to May 2016, house prices were up 5.6 percent.

For the nine census divisions, seasonally adjusted monthly price changes from April 2016 to May 2016 ranged from -1.3 percent in the New England division to +1.2 percent in the Mountain division. The 12-month changes were all positive, ranging from +3.4 percent in the Middle Atlantic division to +8.5 percent in the Mountain division.

Monthly index values and appreciation rate estimates for recent periods are provided in the table and graphs on the following pages. Complete historical downloadable data and House Price Index release dates are available on the House Price Index page.

​For detailed information on the House Price Index, see Frequently Asked Questions. The next House Price Index report will be released August 24, 2016 and will include monthly data through June 2016 and quarterly data for the second quarter of 2016.

FHFA House Price Index Up 0.2 Percent in April

From the Federal Housing Finance Agency:

U.S. house prices rose in April, up 0.2 percent on a seasonally adjusted basis from the previous month, according to the Federal Housing Finance Agency monthly House Price Index. The previously reported 0.7 percent increase in March was revised upward to reflect a 0.8 percent increase.

The Federal Housing Finance Agency monthly House Price Index is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. From April 2015 to April 2016, house prices were up 5.9 percent. Since October 2015, the national house price index level has surpassed the prior peak level from March 2007.

For the nine census divisions, seasonally adjusted monthly price changes from March 2016 to April 2016 ranged from -0.7 percent in the Middle Atlantic division to +1.4 percent in the New England division. The 12-month changes were all positive, ranging from +1.7 percentin the Middle Atlantic division to +8.6 percent in the Pacific division.

Monthly index values and appreciation rate estimates for recent periods are provided in the table and graphs on the following pages. Complete historical downloadable data and HPI release dates are available on the House Price Index page.

For detailed information on the monthly HPI, see House Price Index Frequently Asked Questions (FAQ). The next House Price Index report will be released July 21, 2016 and will include monthly data through May 2016.

February 2016 U.S. House Price Index

From the Federal Housing Finance Agency:

U.S. house prices rose in February, up 0.4 percent on a seasonally adjusted basis from the previous month. From February 2015 to February 2016, house prices were up 5.6 percent. For the nine census divisions, seasonally adjusted monthly price changes from January 2016 to February 2016 ranged from -0.7 percent in the South Atlantic division to +1.7 percent in the Middle Atlantic division. The 12-month changes were all positive, ranging from +2.5 percent in the New England division to +8.4 percent in the Pacific division.

Federal Housing Finance Agency House Price Index Up 0.5% in January

From the Federal Housing Finance Agency:

U.S. house prices rose in January, up 0.5 percent on a seasonally adjusted basis from the previous month, according to the Federal Housing Finance Agency monthly House Price Index. The previously reported 0.4 percent increase in December was revised upward to reflect a 0.5 percent increase.

The Federal Housing Finance Agency monthly House Price Index is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. From January 2015 to January 2016, house prices were up 6.0 percent.

For the nine census divisions, seasonally adjusted monthly price changes from December 2015 to January 2016 ranged from -1.0 percent in the Middle Atlantic division to +1.7 percent in the South Atlantic division. The 12-month changes were all positive, ranging from +1.7 percent in the Middle Atlantic division to +8.9 percent in the South Atlantic division.

Monthly index values and appreciation rate estimates for recent periods are provided in the table and graphs on the following pages. Complete historical data are available on the Downloadable House Price Index Data page.

For detailed information on the monthly House Price Index, see House Price Index Frequently Asked Questions. The next House Price Index report will be released April 21, 2016 and will include monthly data through February 2016.

Federal Housing Finance Agency has published House Price Index release dates for 2016, which can be found on the House Price Index Release dates page.

FHFA House Price Index Up 0.5 Percent in October

U.S. house prices rose in October, up 0.5 percent on a seasonally adjusted basis from the previous month, according to the Federal Housing Finance Agency (FHFA) monthly House Price Index (HPI). The previously reported 0.8 percent increase in September was revised downward to reflect a 0.7 percent increase.

The FHFA HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. From October 2014 to October 2015, house prices were up 6.1 percent.

For the nine census divisions, seasonally adjusted monthly price changes from September 2015 to October 2015 ranged from -0.5 percent in the New England division to +1.2 percent in the East South Central division. The 12-month changes were all positive, ranging from +2.9 percent in the New England division to +8.9 percent in the Mountain division.

FHFA House Price Index Up 1.3 Percent in the Third Quarter

U.S. house prices rose 1.3 percent in the third quarter of 2015 according to the Federal Housing Finance Agency (FHFA) House Price Index (HPI). This is the 17th consecutive quarterly price increase in the purchase-only, seasonally adjusted index. FHFA’s seasonally adjusted monthly index for September was up 0.8 percent from August. House prices rose 5.7 percent from the third quarter of 2014 to the third quarter of 2015.

The FHFA HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac.

​Home prices rose in every state (except for West Virginia) and in th​e District of Columbia between the third quarter of 2014 and the third quarter of 2015. Of the nine census divisions, the Mountain division experienced the strongest increase in the third quarter, posting a 2.4 percent quarterly increase and a 9.0 percent increase since the third quarter of last year. House price appreciation was weakest in the New England division, where prices rose 0.2 percent from the last quarter.

FHFA House Price Index Up 0.3 Percent in August

U.S. house prices rose in August, up 0.3 percent on a seasonally adjusted basis from the previous month, according to the Federal Housing Finance Agency (FHFA) monthly House Price Index (HPI). The previously reported 0.6 percent increase in July was revised downward to reflect a 0.5 percent increase.

The FHFA HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. From August 2014 to August 2015, house prices were up 5.5 percent. The U.S. index is 0.9 percent below its March 2007 peak and is roughly the same as the December 2006 index level.

For the nine census divisions, seasonally adjusted monthly price changes from July 2015 to August 2015 ranged from -0.4 percent in the East North Central and Middle Atlantic divisions to +0.8 percent in the East South Central division. The 12-month changes were all positive, ranging from +2.2 percent in the Middle Atlantic division to +8.3 percent in the Mountain division.

FHFA: U.S. House Prices Rise 1.2 Percent in Second Quarter

U.S. house prices rose 1.2 percent in the second quarter of 2015 according to the Federal Housing Finance Agency (FHFA) House Price Index (HPI). This is the 16th consecutive quarterly price increase in the purchase-only, seasonally adjusted index. FHFA's seasonally adjusted monthly index for June was up 0.2 percent from May. House prices rose 5.4 percent from the second quarter of 2014 to the second quarter of 2015.

The HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac.

"Home price growth in the second quarter once again far exceeded the pace of overall inflation, even as mortgage rates drifted upwards," said FHFA Principal Economist Andrew Leventis. "Although too early to tell whether it's a sign of a slowdown, the monthly appreciation rate in June was more modest than we have seen in a while."

The seasonally adjusted, purchase-only HPI rose 5.4 percent from the second quarter of 2014 to the second quarter of 2015, while prices of other goods and services fell 1.4 percent. The inflation-adjusted price of homes thus rose approximately 6.9 percent over the latest year.

Significant Findings

• Home prices rose in every state between the second quarter of 2014 and the second quarter of 2015. The top five areas in annual appreciation: 1) Colorado – 10.6 percent, 2) Nevada – 10.5 percent, 3) Florida – 9.7 percent, 4) Hawaii – 9.5 percent, and 5) Washington – 8.8 percent.

• Among the 100 most-populated metropolitan areas in the U.S., four-quarter price increases were greatest in San Francisco-Redwood City-South San Francisco, CA (MSAD), where prices increased by 18.3 percent. Prices were weakest in the Allentown-Bethlehem-Easton, PA-NJ, where they fell -1.1 percent.

• Of the nine census divisions, the South Atlantic division experienced the strongest increase in the second quarter, posting a 1.7 percent quarterly increase and a 6.1 percent increase since last year. House price appreciation was weakest in the Middle Atlantic division, where prices were flat in the second quarter.

Other Price Indexes
Most statistics in the attached release reference price changes computed by FHFA's basic "purchase-only" HPI. In some cases, however, the reported statistics reference alternative price measures. FHFA publishes – and makes available for download – three additional varieties of home price index beyond the basic "purchase-only" series. Although they all use the same basic methodology, the three alternatives rely on slightly different datasets in index estimation.

The alternative measures include:

• "Distress-Free" house price indexes. Sales of bank-owned properties and short sales are removed from purchase-only dataset prior to estimation of the indexes.

• "Expanded-Data" house price indexes. Sales price information sourced from county recorder offices and from FHA-endorsed mortgages are added to the purchase-only data sample.

• "All-Transactions" house price indexes. Appraisal values from refinance mortgages are added to the purchase-only data sample.

For some geographic areas, multiple index types are available. For instance, for individual states, three types of indexes are available. The various series tend to correlate closely over the long-term, but short-term differences can be significant.

FHFA: House Price Index Up 0.4 Percent in May

U.S. house prices rose in May, up 0.4 percent on a seasonally adjusted basis from the previous month, according to the Federal Housing Finance Agency (FHFA) monthly House Price Index (HPI). The previously reported 0.3 percent change in April was revised upward to reflect a 0.4 percent change.

The FHFA HPI is calculated using home sales price information from mortgages sold to or guaranteed by Fannie Mae and Freddie Mac. From May 2014 to May 2015, house prices were up 5.7 percent. The U.S. index is 1.8 percent below its March 2007 peak and is roughly the same as the April 2006 index level.

For the nine census divisions, seasonally adjusted monthly price changes from April 2015 to May 2015 ranged from -0.6 percent in the East South Central division to +1.1 percent in the East North Central division. The 12-month changes were all positive, ranging from +0.9 percent in the Middle Atlantic division to +8.4 percent in the Pacific division.

FHFA: U.S. House Prices Rise 1.3 Percent in First Quarter

Index Shows Increases for Fifteenth Consecutive Quarter

U.S. house prices rose 1.3 percent in the first quarter of 2015 according to the Federal Housing Finance Agency (FHFA) House Price Index (HPI). This is the fifteenth consecutive quarterly price increase in the purchase-only, seasonally adjusted index. FHFA's seasonally adjusted monthly index for March was up 0.3 percent from February. The HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac.

"The first quarter saw strong and widespread home price growth throughout most of the country," said FHFA Principal Economist Andrew Leventis. "Home prices are now, on average, roughly 20 percent above where they were three years ago. This run-up has been historically exceptional and is particularly notable in light of the limited household income growth and modest rate of overall inflation observed during that same time period."

The seasonally adjusted, purchase-only HPI rose 5.0 percent from the first quarter of 2014 to the first quarter of 2015 while prices of other goods and services fell 1.5 percent. The inflation-adjusted price of homes thus rose approximately 6.5 percent over the latest year.

Other Significant Findings

• Between the first quarter of 2014 and the first quarter of 2015, home prices rose in 48 states. The top five states in annual appreciation: 1) Colorado – 11.2 percent 2) Nevada – 10.1 percent 3) Florida – 8.7 percent 4) Washington – 7.6 percent 5) California – 7.5 percent.
• Among the 100 most populated metropolitan areas in the U.S., four-quarter price increases were greatest in Oakland-Hayward-Berkeley, CA (MSAD), where prices increased by 13.4 percent. Prices were weakest in the Greensboro-High Point, NC, where they fell 2.3 percent.
• Of the nine census divisions, the Mountain division experienced the strongest increase in the first quarter, posting a 2.6 percent quarterly increase and a 6.8 percent increase since last year. House price appreciation was weakest in the West North Central division, where prices rose 0.7 percent.