CoreLogic, a leading global property information, analytics and data-enabled solutions provider, released its Home Price Index (HPI) and HPI forecast for August 2016, reflecting that home prices are up both year over year and month over month.
Home prices nationwide, including distressed sales, increased year over year by 6.2 percent in August 2016, compared with August 2015, and increased month over month by 1.1 percent in August 2016, compared with July 2016, according to the CoreLogic HPI.
The CoreLogic HPI Forecast indicates that home prices will increase by 5.3 percent on a year-over-year basis from August 2016 to August 2017, and on a month-over-month basis home prices are expected to increase by 0.4 percent from August 2016 to September 2016.
The CoreLogic HPI Forecast is a projection of home prices using the CoreLogic HPI and other economic variables. Values are derived from state-level forecasts by weighing indices according to the number of owner-occupied households for each state.
“Home prices are now just 6 percent below the nominal peak,” CoreLogic Chief Economist Dr. Frank Nothaft said in the press release. “With prices forecasted to increase by 5 percent over the next year, prices will be back to their peak level in 2017.”
“Housing values continue to rise briskly on stronger fundamental and investor-fueled demand, as well as lack of adequate supply,” CoreLogic President and CEO Anand Nallathambi said. “This continued price appreciation is contributing to a growing affordability crisis in many markets around the country.”