CoreLogic: Home Price Increases Reach 7 Year Peak

By Stevie Duffin Updated on 4/3/2013

By Daniel Duffield

In February, home prices underwent a 10.2% year-over-year increase, constituting the most substantial annual home value gain in roughly seven years, as well as marking the 12^th straight month of home price growth, according to CoreLogic.

The housing market analytics company ascribes this notable growth to the quick rise in home prices within the western markets, primary in California, Phoenix, and Las Vegas.

CoreLogic’s Home Price Index data presented for February factors in the effects of distressed property sales; however, removing this factor from the calculations resulted in only a slight drop at a rise of 10.1% from the previous year. Additionally, February saw a 0.5% national growth in terms of home prices in comparison with January figures when factoring in distressed home sales. Without including distressed properties, prices grew 1.5% from January to February.

Considering March statistics, CoreLogic’s Pending Home Price Index indicates that March prices are expected to gain 10.2% over the previous year’s levels while increasing 1.2% over February figures.

The states that saw the most prominent home price appreciation including distressed home sales included Nevada, with a 19.3% annual price gain, Arizona, which rose 18.6% year-over-year, California (15.3%), Hawaii (14.6%), and Idaho (13.5%).

In contrast, states with the most significant price drops include Delaware, which saw a 4.4% depreciation in home values, Alabama, with a 1.5% decline, and Illinois, with a 1% drop.

Despite these statistics, in terms of overall transactions, the home price index remains a notable 26.3% below the peak of the U.S. housing market before the crash in April 2006.