Black Knight: Home Prices Increased 1.1% In May

Posted by Patrick Barnard on July 27, 2015 No Comments
Categories : Residential Mortgage

U.S. home prices increased 1.1% in May compared to April and were up 5.1% compared to May 2014, according to Black Knight Financial Services' home price index (HPI) report.

The average value for a home in May was $251,000. That's only 6.5% below the peak of $268,000 seen in June 2006. What's more, it represents a 25% increase from the market's bottom.

States that saw the biggest increases in home prices in May compared to
April included New York (1.8%), Vermont (1.6%), New Jersey (1.6%), Connecticut (1.6%) and New Hampshire (1.6%).

Cities that saw the biggest increases in home prices in May included Janesville, Wisc. (3.1%); Keene, N.H. (1.9%); Utica, N.Y. (1.9%); New York, N.Y. (1.9%); and Willimantic, Conn. (1.9%).

Covering more than 18,000 ZIP codes, Black Knight's HPI represents the price of non-distressed sales by taking into account price discounts for REO and short sales.

Last week, the Federal Housing Finance Agency (FHFA) released its monthly HPI report, showing that U.S. home prices increased 0.4% in May compared to April and were up 5.7% compared to May 2014.

The FHFA's HPI, which uses a different methodology and only looks at mortgages securitized through Fannie Mae and Freddie Mac, put U.S. home prices just 1.8% below the peak seen in March 2007.

According to the FHFA's HPI, home prices as of May had reached the same level seen in April 2006.

In addition, CoreLogic's HPI report, released earlier this month, shows that U.S. home prices, including distressed sales, increased 1.7% in May compared with April and were up 6.3% compared with May 2014,

Including distressed sales, 33 states and the District of Columbia were at or within 10% of their peak prices in May, according to CoreLogic's HPI, which, again, uses a different methodology.

The District of Columbia and 10 states – Alaska, Colorado, Iowa, Nebraska, New York, North Carolina, Oklahoma, Tennessee, Texas and Vermont – reached new price peaks not experienced since January 1976, when CoreLogic launched its HPI.

Excluding distressed sales, home prices increased 1.4% compared to April and were up 6.3% compared with May 2014, according to CoreLogic

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