Home Price Increases Continuing to Flatten: LPS


The home value increase curve is continuing to flatten, according to the latest Lender Processing Services Home Price Index. The index is up 10 basis points in October over September, but for September over August there was a 20 basis point gain, while for August over July there was a 40 basis point gain.

The Federal Housing Finance Agency recently reported a 50 bp month-to-month increase for October.

While home values are still down 14% from the peak seen in June 2006, they are up nearly 9% from October 2012 and over 8% from the start of this year, LPS says.

The state with the largest gain in price is Rhode Island, up 80 bps, followed by Massachusetts, Georgia and New York, up 70 bps. On the other hand, the largest month-to-month decrease in price was seen in Oklahoma, down 40 bps.

By metro area, Boston and Miami are both up about 90 bps. The two cities with the largest decline, Spokane, Wash., and Kennewick, Wash., are each down 70 bps.

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