Housing prices up slightly in July

Housing prices in the United States ticked up slightly in July, according to the Federal Housing Finance Agency’s (FHFA) monthly House Price Index (HPI).

House prices rose 0.2 percent in July compared to the previous month, after rising 0.1 percent in June. However, from July 2016 to July 2017, house prices were up 6.3 percent.

For the nine census divisions, seasonally adjusted monthly price changes from June 2017 to July 2017 ranged from -0.5 percent in the West North Central and Pacific divisions to +0.6 percent in the East North Central division.

Further, the 12-month changes were all positive, ranging from +4.2 percent in the West North Central division to +8.2 percent in the Mountain and Pacific divisions.

The HPI is a broad measure of the movement of single-family house prices. It serves as an indicator of house price trends at various geographic levels. It also provides housing economists with an analytical tool that is useful for estimating changes in the rates of mortgage defaults, prepayments and housing affordability in specific geographic areas.

The FHFA monthly HPI is calculated using home sales price information from mortgages sold to or guaranteed by Fannie Mae and Freddie Mac. The HIP for August will be released Oct. 25th.