Home prices increased in December, showing no letup in home price appreciation during the fourth quarter, according to the latest House Price Index from the Federal Housing Finance Agency.
Home prices increased 1.6% from the third to the fourth quarter, the report showed. This represents an increase of 6.7% from the fourth quarter of 2016. In December, home prices rose 0.3% month-over-month.
The chart below shows home prices have long since surpassed their previous peak, and continue to shoot up.
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The FHFA monthly HPI is calculated using home sales price information from mortgages sold to, or guaranteed by, Fannie Mae and Freddie Mac. Because of this, the selection excludes high-end homes bought with jumbo loans or cash sales.
“Home price appreciation in the fourth quarter showed absolutely no letup throughout the U.S.,” FHFA Deputy Chief Economist Andrew Leventis said….