U.S. home prices continued to increase in October — both month-over-month and year-over-year — with the largest gain seen in the Denver metro area, according to a recent report by property data company CoreLogic.
CoreLogic’s Home Price Index showed that nationally averaged home prices (including distressed sales) were up 6.7 percent in October compared to the same time last year and saw an increase of 1.1 percent over September.
Meanwhile, the company’s HPI Forecast has indicated home prices will continue to increase (despite concerns that a hike in mortgage rates will curb growth) by 4.6 percent year-over-year from October 2016 to October 2017. The Forecast anticipates a month-over-month increase of .2 percent from October to November, according to the report.
“While national home prices increased 6.7 percent, only nine states had home price growth at the same rate of growth or higher than the national average because the largest states, such as Texas, Florida and California, are experiencing high rates of home price appreciation,” Frank Nothaft, chief economist for CoreLogic, said in the report.
The Denver metro area experienced a 9.4-percent year-over-year increase in home prices in October (the largest seen in the U.S.), according to the report. That is compared to a 8.4-percent increase (the fourth largest gain in the U.S.) in Colorado home prices over the same period.
In the Colorado Springs metro area, home prices (including distressed sales) saw a year-over-year increase of 6.3 percent and an increase of .4 percent over September, according to the report.
“Home prices are continuing to soar across much of the U.S. led by major metro areas such as Boston, Los Angeles, Miami and Denver. Prices are being fueled by a potent cocktail of high demand, low inventories and historically low interest rates,” CoreLogic President and CEO Anand Nallathambi said in the report. “Looking forward to next year, nationwide home prices are expected to climb another 5 percent in many parts of the country to levels approaching the pre-recession peak.”