Year-over-year home price appreciation in August slowed to a pace of 6 percent, according to CoreLogic’s Home Price Index Report (PDF File).
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Year-over-year home price appreciation in August slowed to a pace of 6 percent, according to CoreLogic’s Home Price Index Report (PDF File).
The slowdown in August shows that the real estate market is finding balance since reaching a peak of about 12 percent year-over-year appreciation in October 2013, according to the report.
“Continued moderation of home price appreciation is a welcomed sign of more balanced real estate markets and less pressure on affordability for potential home buyers in the near future,” said Mark Fleming, CoreLogic chief economist, in the report.
Home prices are expected to moderate further come next August, with CoreLogic predicting a year-over-year appreciation of 5.2 percent.
In the short term, prices increased 0.3 percent from July 2014. CoreLogic predicts that prices will show an increase of 0.2 percent between August 2014 and September 2014.
Nationwide, 98 of the 100 statistical areas measured by population showed year-over-year increases in August. The Houston–The Woodlands–Sugar Land, Texas, statistical area saw single-family home prices jump 11.4 percent—the largest increase observed.
“Home prices continue to rise, albeit more slowly, across most of the U.S.,” said Anand Nallathambi, CoreLogic president and CEO, in the report. “Major metropolitan areas such as Riverside and Los Angeles, Calif., and Houston continue to lead the way with strong price gains buoyed by tight supplies and a gradual rebound in activity.”
Thirty-two of 50 states are at or within 10 percent of their peak price. The states furthest from their peak include Nevada (-36.2 percent) and Florida (-33.4 percent).