FHFA Reports Home Prices Down 18.6 percent Since April 2007

Home prices in the U.S. declined 1.6 percent on a seasonally adjusted basis from January to February 2011, according to the Federal Housing Finance Agency’s monthly House Price Index. The previously reported 0.3 percent decrease in January was revised to a one percent drop. For the 12 months ending in February, U.S. prices fell 5.7 percent. The U.S. index is 18.6 percent below its April 2007 peak and roughly the same as the February 2004 index level. The FHFA House Price Index is calculated using purchase prices of houses backing mortgages that have been sold to or guaranteed by Fannie Mae or Freddie Mac. For the nine Census Divisions, seasonally adjusted monthly price changes from January to February ranged from -3.7 percent in the Mountain Division to -0.6 percent in the East South Central Division.