FHFA: House Prices Up 1.1% In November, 17.5% YOY
Latest House Price Index shows 4-month average monthly gains of just 1 percentage point, down from previous quarters.
House prices nationwide rose 1.1% in November 2021 from October, but jumped 17.5% from a year earlier, according to the latest Federal Housing Finance Agency House Price Index (FHFA HPI).
The previously reported 1.1% price change for October 2021 from a month earlier remained unchanged.
For the nine census divisions, seasonally adjusted monthly house price changes from October to November ranged from +0.5% in the West North Central division to +1.9% in the South Atlantic division. The 12-month changes ranged from +13.3% in the West North Central division to +22.8% in the Mountain division.
"House price levels remained elevated in November, but the data indicate a pivot," said Will Doerner, Ph.D., supervisory economist in FHFA's Division of Research and Statistics. "The last four months reflect average gains of 1 percentage point, down from the larger prior changes during the spring and summer months. This new trend is a welcome shift, but still twice the monthly average we have seen in the last 20 years, which echoes concerns about access and affordability in housing markets."
The FHFA HPI is the nation's only collection of public, freely available house price indexes that measure changes in single-family home values based on data from all 50 states and over 400 American cities that extend back to the mid-1970s. The FHFA HPI incorporates tens of millions of home sales and offers insights about house price fluctuations at the national, census division, state, metro area, county, ZIP code, and census tract levels. FHFA’s methodology is based upon a weighted, repeat-sales statistical technique to analyze house price transaction data.
FHFA releases HPI data and reports on a quarterly and monthly basis. The flagship FHFA HPI uses nominal, seasonally adjusted, purchase-only data from Fannie Mae and Freddie Mac.
You can read the full FHFA report at www.fhfa.gov.
FHFA will release its next HPI report on Feb. 22, with monthly data through December 2021 and quarterly data through the fourth quarter of 2021.