FHFA Home Price Index Rises

Home prices are one of 2017's best stories, reflected in the latest FHFA data where the house price index rose 0.5 percent in October with September revised 2 tenths higher and now also at a 0.5 percent gain. Year-on-year, rose prices were up 6.6 percent in October and 6.5 percent in September which is strong appreciation in a low interest rate, low inflation economy. The West leads the nation with the Pacific states up 8.7 percent year-on-year followed by the Mountain states at 8.2 percent. The South Central at 5.5 percent and New England at 5.7 percent lag but at still solid rates.

Recent History Of This Indicator:
Home prices have been one of the strongest areas of the 2017 economy though FHFA's house price index did slow in the last report to only 0.3 percent monthly growth for a year-on-year rate of 6.3 percent which is the lowest since January. A little bounce is expected for November where the consensus is calling for a 0.4 percent gain.