A new peak in home prices is expected in August, according to the CoreLogic Home Price Index report, which previously predicted the peak would happen in October.
The report showed a 7.1 percent year-over-year increase in home prices in March, the 62nd consecutive month of annual increases. Month-over-month, home prices in March increased 1.6 percent.
Home prices are projected to increase 4.9 percent year-over-year and 0.6 percent month-over-month, according to the report.
“Home prices posted strong gains in March 2017, and the CoreLogic Home Price Index is only 2.8 percent from its 2006 peak,” said Frank Nothaft, CoreLogic chief economist, in a statement. “With a forecasted increase of almost 5 percent of the next 12 months, the Index is expected to reach the previous peak during the second half of this year.”
The five states with the largest year-over-year home price gains in March were Washington, 12.8 percent; Utah, 9.9 percent; Oregon, 9.4 percent; Colorado, 8.7 percent; and Idaho, 8.4 percent.
The five states remaining furthest from their peak values in March were Nevada, down 29.9 percent; Connecticut, down 20.9 percent; Florida, down 20.2 percent; Maryland, down 19.6 percent; and Arizona, down 19.4 percent.
