Home owners have been enjoying big home price rises across the country, but those increases – often by double-digit percentages – will likely level off soon, according to CoreLogic’s latest Home Price Index, which reflects February data.
The index, which also includes distressed sales, was up 12.2 percent in February compared to year-ago levels. That marked the 24th consecutive month for annual home price increases, according to CoreLogic’s index.
“As the spring home-buying season kicks off, house price appreciation continues to be strong,” says Mark Fleming, CoreLogic’s chief economist. “Although prices should remain strong in the near term due to a short supply of homes on the market, price increases should moderate over the next year as home equity releases pent-up supply.”
The National Association of Realtors’ most recent existing-home sales report showed that the median existing-home price for all housing types was $189,000 in February, a 9.1 percent rise over February 2013. “Price gains have translated into an additional $4 trillion of housing wealth recovery over the past three years,” Lawrence Yun, the NAR’s chief economist, said in a statement picked up by Mortgage News Daily.
According to CoreLogic’s index, no state had posted negative annual appreciation in February. CoreLogic’s index, including distressed sales, shows the following five states posted the highest annual home price appreciation:
- California: +19.8%
- Nevada: +18.5%
- Georgia: +14.2%
- Oregon: +13.8%
- Michigan: +13.5%