CoreLogic Reports National Homes Prices Rose by 5.6 Percent Year Over Year in February 2015

Including distressed sales, 26 states and the District of Columbia were at or within 10 percent of their peak prices. Six states, including Colorado (+9.8 percent), New York (+8.2 percent), North Dakota (+7.7 percent), Texas (+8.5 percent), Wyoming (+8.4 percent) and Oklahoma (+5.2 percent), reached new home price highs since January 1976 when the CoreLogic HPI started.

Excluding distressed sales, home prices increased by 5.8 percent in February 2015 compared to February 2014 and increased by 1.5 percent month over month compared to January 2015. Also excluding distressed sales, all states and the District of Columbia showed year-over-year home price appreciation in February. Distressed sales include short sales and real estate owned (REO) transactions.

The CoreLogic HPI Forecast indicates that home prices, including distressed sales, are projected to increase by 0.6 percent month over month from February 2015 to March 2015 and on a year-over-year basis by 5.1 percent** from February 2015 to February 2016. Excluding distressed sales, home prices are expected to increase by 0.5 percent month over month from February 2015 to March 2015 and by 4.8 percent** year over year from February 2015 to February 2016. The CoreLogic HPI Forecast is a projection of home prices using the CoreLogic HPI and other economic variables. Values are derived from state-level forecasts by weighting indices according to the number of owner-occupied households for each state.

“Since the second half of 2014, the dwindling supply of affordable inventory has led to stabilization in home price growth with a particular uptick in low-end home price growth over the last few months,” said Dr. Frank Nothaft, chief economist for CoreLogic. “From February 2014 to February 2015, low-end home prices increased by 9.3 percent compared to 4.8 percent for high-end home prices, a gap that is three times the average historical difference.”

“This is the hottest home price appreciation prior to the spring selling season in nine years,” said Anand Nallathambi, president and CEO of CoreLogic. “Assuming a benign interest rate environment and continued strong consumer confidence, we expect home prices to rise by an additional five percent over the next twelve months.”

Highlights as of February 2015:

• Including distressed sales, the five states with the highest home price appreciation were: Colorado (+9.8 percent), South Carolina (+9.3), Michigan (+8.5 percent), Texas (+8.5 percent) and Wyoming (+8.4 percent).
• Excluding distressed sales, the five states with the highest home price appreciation were: South Carolina (+9.7 percent), New York (+9.2 percent), Colorado (+9 percent), Texas (+7.9 percent) and Florida (+7.8 percent).
• Including distressed transactions, the peak-to-current change in the national HPI (from April 2006 to February 2015) was -12.2 percent. Excluding distressed transactions, the peak-to-current change for the same period was -7.8 percent.
• Including distressed sales, only Connecticut at -0.9 percent experienced a decline in home prices.
• The five states with the largest peak-to-current declines, including distressed transactions, were: Nevada (-35.4 percent), Florida (-32.4 percent), Rhode Island (-29.6 percent), Arizona (-28.4 percent) and Connecticut (-24.7 percent).
• Including distressed sales, the U.S. has experienced 36 consecutive months of year-over-year increases.
• Ninety-two of the top 100 Core Based Statistical Areas (CBSAs) measured by population showed year-over-year increases in January 2015. The eight CBSAs that showed year-over-year declines were: Baltimore-Columbia-Towson, MD; Philadelphia, PA; Hartford-West Hartford-East Hartford, CT; New Orleans-Metairie, LA; Rochester, NY; Worcester, MA-CT.; Albany-Schenectady-Troy, NY; and New Haven-Milford, CT.

*January data was revised. Revisions with public records data are standard, and to ensure accuracy, CoreLogic incorporates the newly released public data to provide updated results.
** The forecast accuracy represents a 95-percent statistical confidence interval with a +/- 2.0 percent margin of error for the index including distressed sales and a +/- 2.0 percent margin of error for the index excluding distressed sales.

Table 2: February National and State HPI (Ranked by Single Family Including Distressed)

Figure 1: Home Price Index Percentage Change Year Over Year

Figure 2: YoY HPI Growth for 25 Highest Rate States Min, Max, Current Since January 1976

Map 1 – February 2015 CoreLogic HPI Single-Family Combined Series Peak-to-Current Declines 12-Month Change by State

Map 2 – February 2015 Single-Family Combined Excluding Distressed Series Peak-to-Current Declines 12-Month Change by State

Methodology
The CoreLogic HPI^™ incorporates more than 30 years’ worth of repeat sales transactions, representing more than 65 million observations sourced from CoreLogic industry-leading property information and its securities and servicing databases. The CoreLogic HPI provides a multi-tier market evaluation based on price, time between sales, property type, loan type (conforming vs. nonconforming) and distressed sales. The CoreLogic HPI is a repeat-sales index that tracks increases and decreases in sales prices for the same homes over time, including single-family attached and single-family detached homes, which provides a more accurate “constant-quality” view of pricing trends than basing analysis on all home sales. The CoreLogic HPI provides the most comprehensive set of monthly home price indices available covering 7284 ZIP codes (60 percent of total U.S. population), 652 Core Based Statistical Areas (89 percent of total U.S. population) and 1,287 counties (85 percent of total U.S. population) located in all 50 states and the District of Columbia. Forecast ranges provided in this report are based on a 95 percent confidence interval.

Source: CoreLogic
The data provided are for use only by the primary recipient or the primary recipient’s publication or broadcast. This data may not be re-sold, republished or licensed to any other source, including publications and sources owned by the primary recipient’s parent company without prior written permission from CoreLogic. Any CoreLogic data used for publication or broadcast, in whole or in part, must be sourced as coming from CoreLogic, a data and analytics company. For use with broadcast or web content, the citation must directly accompany first reference of the data. If the data are illustrated with maps, charts, graphs or other visual elements, the CoreLogic logo must be included on screen or website. For questions, analysis or interpretation of the data, contact Lori Guyton at [email protected] or Bill Campbell at [email protected]. Data provided may not be modified without the prior written permission of CoreLogic. Do not use the data in any unlawful manner. The data are compiled from public records, contributory databases and proprietary analytics, and its accuracy is dependent upon these sources.

About CoreLogic
CoreLogic (NYSE: CLGX) is a leading global property information, analytics and data-enabled services provider. The company’s combined data from public, contributory and proprietary sources includes over 3.5 billion records spanning more than 40 years, providing detailed coverage of property, mortgages and other encumbrances, consumer credit, tenancy, location, hazard risk and related performance information. The markets CoreLogic serves include real estate and mortgage finance, insurance, capital markets, and the public sector. CoreLogic delivers value to clients through unique data, analytics, workflow technology, advisory and managed services. Clients rely on CoreLogic to help identify and manage growth opportunities, improve performance and mitigate risk. Headquartered in Irvine, Calif., CoreLogic operates in North America, Western Europe and Asia Pacific. For more information, please visit www.corelogic.com.

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For real estate industry and trade media:
Bill Campbell
[email protected]
212-995-8057

For general news media:
Lori Guyton
[email protected]
901-277-6066

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