House Price Index Rose in November 2012 - Perhaps Some Good News?!?

WASHINGTON – Feb. 23, 2012 – U.S. house prices rose 1.0 percent on a seasonally adjusted basis from October to November 2011, according to the Federal Housing Finance Agency’s monthly House Price Index released today.

The previously reported 0.2 percent decrease in October was revised downward to reflect a 0.7 percent decrease. For the 12 months ending in November, U.S. prices fell 1.8 percent. The U.S. index is now 18.8 percent below its April 2007 peak and the level is roughly the same as the February 2004 index.

The FHFA monthly index is based on transactions involving conforming, conventional mortgages purchased or securitized by Fannie Mae or Freddie Mac. Only mortgage transactions on single-family properties are included. Conforming refers to a mortgage that both meets the underwriting guidelines of Fannie Mae or Freddie Mac and that does not exceed the conforming loan limit. It doesn’t consider mortgages guaranteed by the FHA, VA or other federal government entities. Mortgage transactions on condominiums, cooperatives, multi-unit properties, and planned unit developments are also excluded.

© 2012 Florida Realtors®
Reprinted with permission. Florida Realtors®. All rights reserved.