House prices continue to lift

by Ryan Smith23 Aug 2013

National housing prices continued their upward trajectory in the second quarter, rising 2.1% from Q1, according to a report by the Federal Housing Finance Agency.

“The housing market experienced one of its strongest quarters since the boom in the middle of the last decade,” in Q2, said FHFA Principal Economist Andrew Leventis.

According to the FHFA’s House Price Index for Q2, released Thursday, this marks the eighth consecutive quarterly price increase. House prices also jumped 7.2% year-over-year.

The seasonally adjusted purchase-only price index rose in 47 states and the District of Columbia in Q2, according to FHFA. Nevada led the pack in annual appreciation, followed by California, Arizona, Oregon and D.C. New Mexico saw the smallest gain, with a 1.3% increase from Q1 and a 0.98% increase year-over-year. Out of the nine geographic divisions surveyed, the Pacific division (Alaska, California, Hawaii, Oregon and Washington) saw the strongest increase, with the HPI up 4.6% over Q1 and 16.2% over Q2 of 2012. Price gains were weakest in the East South Central division (comprising Alabama, Kentucky, Mississippi and Tennessee), which only posted a 0.9% increase from Q1.

Out of the 100 most populated metropolitan statistical areas, Florida’s Orlando-Kissimmee-Sanford MSA saw the biggest jump, with prices spiking 10% in Q2. Prices were weakest in Ohio’s Akron MSA, which saw a 3.9% drop in Q2.

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