Table Of Content
Prior to the release of 2012Q2 data, the "sales prices" used in connection with a purchase-money mortgage was calculated value based on mortgage's loan-to-value (LTV) ratio and the loan amount. The loan amount was divided by the LTV ratio and the result was used as the measure of the actual selling price. With the release of the 2012Q2 data, FHFA has begun using the property sales price as reported in the Enterprises' data submissions. The HPI is based on transactions involving conventional and conforming mortgages on single-family properties. It is a weighted repeat sales index, measuring average price changes in repeat sales or refinancings on the same properties.
Data revision with 2012Q2 release
When using the FHFA House Price Calculator, please note that it does not project the actual value of any particular house. Rather, it projects what a given house purchased at a point in time would be worth today if it appreciated at the average appreciation rate of all homes in the area. The actual value of any house will depend on the local real estate market, house condition and age, home improvements made and needed, and many other factors. Consult a qualified real estate appraiser in your area to obtain a professional estimate of the current value of your home. Quarterly Expanded-Data indexesBuild on the purchase-only data by adding transactions from FHA and county recorder data (with sales prices below the annual loan limit ceiling). As with other indicators in the housing market, which typically fluctuate from month to month, it is important not to put too much weight on one month’s set of house price data.
FHFA/OFHEO
FHFA House Price Index Falls for First Time Since August 2022 - Advisor Perspectives
FHFA House Price Index Falls for First Time Since August 2022.
Posted: Tue, 26 Mar 2024 07:00:00 GMT [source]
UK monthly rent estimates for the latest two months and UK HPI estimates for the latest 12 months are provisional and subject to revision. All statistics are non-seasonally adjusted estimates, unless explicitly stated otherwise. The national HPI is constructed in an analogous fashion, except that the weighted components are census divisions. Because the census divisions measures are themselves weighted averages of state metrics, the U.S. index is equivalent to a state-weighted metric. How do I use the manipulatable data (in TXT files) on the website to calculate appreciation rates?
Quarterly Data
This was up from 9.0% in the 12 months to February 2024 (revised estimate) and represents the highest annual percentage change since this UK data series began in January 2015. One of its drawbacks is that it does not fully differentiate between pure house price appreciation and price changes due to depreciation or home improvement. The rent series is the owner’s equivalent rent index published by the Bureau of Labor Statistics (BLS); this series is intended to measure changes in the service flow value of owner-occupied housing. Average house prices in Wales decreased by 1.2% (provisional estimate) in the 12 months to February 2024.
The census division indexes are set equal to 100 in the relevant base periods. Then, the index values for subsequent periods are increased (or decreased) by the weighted average quarterly (or monthly) price change for the underlying states. House prices fell in January, down 0.1 percent from December, according to the Federal Housing Finance Agency (FHFA) seasonally adjusted monthly House Price Index (HPI®).
Each subsequent month, updated Northern Ireland data are used to revise estimates for the UK. This means that there is a two-month revision period for the UK series in PIPR. In recent periods, the total transaction volumes and new build volumes available to calculate UK HPI estimates for recent months have been lower than historically. The Office for National Statistics (ONS) and HM Land Registry (HMLR) are working to resolve this. Metropolitan Division refers to a county or group of counties within a Metropolitan Statistical Area that has a population core of at least 2.5 million.
The MSA definition used to compute the 1982 (for example) index value in Anchorage, AK would be the most recent definition. The HPI is one of many economic indicators that investors use to keep a pulse on broader economic trends and potential shifts in the stock market. For more information regarding the index, please visit Standard & Poor's. There is more information about home price sales pairs in the Methodology section.
For the remaining areas, MSAs and Divisions, one-year and five-year rates of change are provided. Data is compiled by reviewing mortgages purchased or securitized by Fannie Mae and Freddie Mac. In Wales, the average price decreased by 1.2% in the 12 months to February 2024 (provisional estimate), up from a decrease of 2.3% in the 12 months to January 2024 (revised estimate). These caps and restrictions will not be reflected in the price of new lets used to estimate the price of existing tenancies.
FHFA HPI Release Dates
Transactions that merely represent title transfers to lenders will not appear in the data. Once lenders take possession of foreclosed properties, however, the subsequent sale to the public can appear in the data. As with any other property sale, the sales information will be in FHFA’s data if the buyer purchases the property with a loan that is bought or guaranteed by Fannie Mae or Freddie Mac. FHFA has access to this information by virtue of its role as the federal regulator responsible for these government-sponsored enterprises. House prices fell 0.1 percent nationwide in November compared to October, according to the latest Federal Housing Finance Agency (FHFA) House Price Index (HPI®). The previously reported 0.0 percent price decline in October 2022 remained unchanged.
There was a varied distribution in average monthly private rents across local authorities in England and Wales, and Broad Rental Market Areas in Scotland. Annual rents inflation was lowest in the North East, at 6.1% in March 2024. This was up from 5.7% in February 2024, and represents the joint-highest annual percentage change since this series began in January 2006. The monthly indexes are calculated in the same way the quarterly indexes are constructed, except transactions from the same quarter are no longer aggregated. To construct the quarterly index, all transactions from the same quarter are aggregated and index values are estimated using the assigned quarters. In the monthly indexing model, all transactions for the same month are aggregated and separate index values are estimated for each month.
To produce provisional UK statistics, Great Britain's inflation rate for the latest two months has been used to estimate Northern Ireland's inflation rate in this period. Average private rent in Northern Ireland increased by 10.1% in the 12 months to January 2024, up from 9.3% in December 2023. Average private rent for Scotland was £947 in March 2024, up 10.5% (£90) from a year earlier. Scotland's annual inflation rate has been generally slowing since the record-high annual rise of 11.8% in August 2023, which was the highest annual rise since this series began in 2012.
The previously reported 0.1 percent price increase in December remained unchanged. On a non-seasonally adjusted basis, average house prices in Wales increased by 0.4% between January 2024 and February 2024, compared with a decrease of 0.7% during the same period 12 months ago. On a seasonally adjusted basis, average house prices in Wales increased by 0.5% between January 2024 and February 2024. Average UK private rent increased by 9.2% in the 12 months to March 2024 (provisional estimate).
Tables and graphs showing home price statistics for metropolitan areas, states, census divisions, and the U.S. are included in the attachment. While mitigation efforts are made, price changes at local levels can be influenced by the type and number of properties collected in any given period, which may lead to volatility. Longer-term trends should be considered for lower-level geographic breakdowns, rather than monthly movements. In March and April 2024, UK HPI estimates were revised from January 2021 onwards by making use of price data processed outside the UK HPI's normal 12-month revision period. Users should be aware that revisions may be larger than usual and should note the significantly greater uncertainty around new build prices. UK HPI will now return to the usual 12-month revision period for future releases.
Quarterly Purchase-Only Indexes The standard indexes reported in quarterly news releases. The FHFA HPI serves as a timely, accurate indicator of house price trends at various geographic levels. Because of the breadth of the sample, it provides more information than is available in other house price indexes. It also provides housing economists with an improved analytical tool that is useful for estimating changes in the rates of mortgage defaults, prepayments and housing affordability in specific geographic areas. Our new local housing statistics tool summarises the latest private rents and house price statistics for local areas.
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