Home Prices Expected To Rise By 6.3 Percent
By Bobby Freeman, Realtor // June 8, 2014
CoreLogic HPI Forecast Indicates National Home Prices Are Expected to Rise by 6.3 Percent from April 2014 to April 2015
Home prices nationwide, including distressed sales, increased 10.5 percent in April 2014 compared to April 2013 according to the CoreLogic Home Price Index (HPI®) Report released today.
This change represents 26 months of consecutive year-over-year increases in home prices nationally. On a month-over-month basis, home prices nationwide, including distressed sales, increased 2.1 percent in April 2014 compared to March 2014.*
The CoreLogic HPI Forecast indicates that home prices, including distressed sales, are projected to increase 1.0 percent month over month from April 2014 to May 2014 and by 6.3 percent (+/- 1.5 percent)** from April 2014 to April 2015.
In Brevard the median sales price for a traditional single-family home sale rose 5.4% to $166,500, up 13.3% for a foreclosure/REO single-family home and single-family short sales rose 14.3% to $120,000 in April 2014 compared to April 2013.
“The weakness in home sales that began a few months ago is clearly signaling a slowdown in price appreciation,” said Sam Khater, deputy chief economist for CoreLogic. “The 10.5 percent increase in April, compared to a year earlier, was the slowest rate of appreciation in 14 months.”
“Home prices are continuing to rise as we head into the summer months,” said Anand Nallathambi, president and CEO of CoreLogic. “The purchase market continues to suffer from a dearth of inventory which we expect will continue to drive prices up over the year.”
Highlights as of April 2014:
- Including distressed sales, the five states with the highest home price appreciation were: California (+15.6 percent), Nevada (+14.8 percent), Hawaii (+14.1 percent), Oregon (+11.8 percent) and Michigan (+11.3 percent).
- Excluding distressed sales, the five states with the highest home price appreciation were: Hawaii (+13.0 percent), California (+11.4 percent), Nevada (+11.1 percent), New York (+10.3 percent) and Florida (+10.2 percent).
- Including distressed transactions, the peak-to-current change in the national HPI (from April 2006 to April 2014) was -14.3 percent. Excluding distressed transactions, the peak-to-current change in the HPI for the same period was -10.8 percent.
- Excluding distressed sales, all 50 states and the District of Columbia showed year-over-year home price appreciation in April.
- Including distressed sales, the U.S. has experienced 26 consecutive months of year-over-year increases; however, this is the smallest year-over-year increase since February 2013.
- The five states with the largest peak-to-current declines, including distressed transactions, were: Nevada (-38.6 percent), Florida (-34.5 percent), Arizona (-29.5 percent), Rhode Island (-28.8 percent) and West Virginia (-24.2 percent).
* March data was revised. Revisions with public records data are standard, and to ensure accuracy, CoreLogic incorporates the newly released public data to provide updated results.
** The forecast accuracy represents a 95-percent statistical confidence interval.
ABOUT THE AUTHOR
Bobby Freeman, a life-time resident of Brevard County, has been a top Realtor in the area for two decades. In his first year as an agent, Freeman received a Rising Star award from his Brokers. Since then he has achieved numerous sales awards and has recently been presented with the prestigious RE/MAX Hall of Fame Award.
Freeman, Jennifer McCoy and Nikki McCoy Freeman are family partners for RE/MAX Elite’s McCoy-Freeman Group. Together they have more than 30 years of extensive experience in all aspects of the real estate industry and have sold over $200 million.
Among McCoy-Freeman Group’s achievement are RE/MAX Hall of Fame, RE/MAX 100% Club, Certified Distressed Property Experts (CDPE), Accredited Buyer’s Representative (ABR) and voted Best Realtor in Brevard County.
The group has been featured in many news publications including CNN Money Magazine, CNNMoney.com, WFTV 9 ABC News, Coastal Condo Living, & Hot Retirement Towns Magazine and SpaceCoastDaily.com.
For more information log on to BrevardRealtyConnection.