Home prices continued to erode in January as foreclosures, tight lending restrictions, and lack of confidence fueled a fifth straight month of declines. Data released today from the Federal Housing Finance Agency (FHFA) showed a 0.3% price decline nationally as well as declines in six of the nine regional Census divisions. The national number stood 3.9% below where it stood in January 2010 and 16.5% below its peak in April 2007.
Gains were also seen in the Pacific and East South Central divisions, which each gained 0.4% over the previous month, although both declined on an annual basis, falling 5.0% and 4.4%, respectively.
All other regions fell for the month, with the South Atlantic and Mountain divisions tied for the largest losses as both posted price declines of 1.3%. Prices in the West North Central division fell 0.2%. The East North Central division lost 0.8%. The New England division lost 0.2%. And the Middle Atlantic division declined 0.6%. Every region reported losses on an annual basis, with the greatest decline coming from the Mountain division, which posted an 8.6% fall.
The FHFA’s housing price index data is drawn from purchase prices of homes whose loans have been purchased by or are guaranteed by Fannie Mae or Freddie Mac.
Claire Easley is senior editor, online, at Builder.
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