Home Prices Up for Third Straight Month: CoreLogic

Home prices nationally increased on a year-over-year basis by 2 percent in May 2012, including sales of distressed properties, according to CoreLogic’s home price index.
On a monthly basis, home prices, rose 1.8 percent in May 2012 compared to April.
This marks the third consecutive monthly increase in home prices nationwide on both a year-over-year and month-over-month basis, CoreLogic said.
Excluding distressed sales, home prices nationwide increased on a year-over-year basis by 2.7 percent in May 2012, compared to May 2011. On a month-over-month basis, excluding distressed sales, the CoreLogic index shows that prices increased 2.3 percent in May 2012, the fourth month-over-month increase in a row.
Distressed sales include short sales and real estate owned (REO) transactions.
CoreLogic projects that house prices, including distressed sales, will rise by at least another 1.4 percent from May 2012 to June 2012.
“The recent upward trend in U.S. home prices is an encouraging signal that we may be seeing a bottoming of the housing down cycle,” said Anand Nallathambi, president and chief executive officer of CoreLogic. “Tighter inventory is contributing to broad, but modest, price gains nationwide and more significant gains in the harder-hit markets, like Phoenix.”
Including distressed sales, the five states with the highest appreciation were:  Arizona (+12.0 percent), Idaho (+9.2 percent), South Dakota (+8.7 percent), Montana (+8.2 percent) and Michigan (+7.9 percent).
Including distressed sales, the five states with the greatest depreciation were: Delaware (-9.0 percent), Rhode Island (-4.4 percent), Illinois (-4.2 percent), Alabama (-4.1 percent) and Georgia (-4.0 percent).
“Home price appreciation in the lower-priced segment of the market is rebounding more quickly than in the upper end,” said Mark Fleming, chief economist for CoreLogic. “Home prices below 75 percent of the national median increased 5.7 percent from a year ago, compared to only a 1.8 percent increase for prices 125 percent or more of the median.”

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