FHFA House Price Index Shows Solid Rise

Home prices rose a solid 0.4 percent in November with the year-on-year at 6.5 percent, based on FHFA's house price index. October's monthly rate is revised 1 tenth higher to 0.6 percent with the yearly rate revised 2 tenths higher to 6.8 percent. This index held near the 7 percent rate through much of last year underscoring the strength of the housing market.

The West North Central posted the strongest monthly gain in November at 0.9 percent followed by the South Atlantic at 0.8 percent. The East South Central at minus 1.1 percent and New England at minus 0.1 percent were the weakest. Year-on-year rates are led by the Mountain region at 8.9 percent followed by the Pacific region at 8.6 percent with the Mid-Atlantic at the bottom at plus 4.2 percent.

Recent History Of This Indicator:
Appreciation in home prices was one of 2017's biggest economic stories and the momentum likely continued into November following October's 0.5 percent monthly gain and 6.6 percent yearly gain. Forecasters see the FHFA house price index rising another 0.5 percent in November.