CoreLogic: U.S. annual home price growth speeds up; Utah loses ground
U.S. single-family home prices rose by 4.5 percent year-over-year in September, the largest such gain since February, according to the Home Price Index release by CoreLogic, an Irvine, California-based global property information, analytics and data-enabled solutions provider.
Utah’s was one of only four states that recorded a year-over-year loss in home prices, down 1.7 percent.
The Northeast continued to post the strongest appreciation, with Maine seeing a 10.1 percent annual increase, the first double-digit HPI gain recorded in any state since early 2023. Despite mortgage rates that are approaching 8 percent, inventory constraints and a healthy U.S. job market should help keep price growth moderate but steady over the next year, CoreLogic said.
“While annual home price growth continued its third month of upward momentum in September, this mostly reflects a comparison with last year’s lows, when prices began to cool from double-digit growth in autumn 2022,” said Selma Hepp, chief economist for CoreLogic. “Still, given the continued rise of borrowing costs in 2023, it is remarkable to see how resilient home price growth has been in recent months, with September’s 0.3 percent month-over-month gain lining up with pre-pandemic trends. Nevertheless, as mortgage rates significantly impact affordability, certain markets with continued in-migration from more expensive states are showing renewed buoyancy and outsized monthly price gains.”
Additional top takeaways from the Corelogic Home Price Index include:
- In September, the annual appreciation of detached properties (4.7 percent) was 0.8 percentage points higher than that of attached properties (3.9 percent).
- CoreLogic’s forecast shows annual U.S. home price gains relaxing to 2.6 percent in September 2024.
- Miami posted the highest year-over-year home price increase of the country’s 20 tracked metro areas in September, at 8.5 percent. St. Louis saw the next-highest gain (7.9 percent); followed by Charlotte, North Carolina, and Detroit (both 6.6 percent).
- Among states, Maine ranked first for annual appreciation in September (up by 10.1 percent), followed by Connecticut (up by 9.5 percent) and New Jersey (up by 9.2 percent). Four states and one district recorded year-over-year home price losses: Idaho (-2.6 percent), Utah (-1.7 percent), the District of Columbia (-1 percent), Montana (-0.9 percent) and Wyoming (-0.1 percent).