Home prices post strong growth in 3Q
Fastest quarterly growth since recovery began
Home prices experienced strong growth in the third quarter as the housing recovery continued to broaden across the country, the latest FNC Residential Price Index posted.
The index increased 2.5% between the second and third quarters, making third-quarter growth the fastest in the current recovery.
The firm attributed the uptick to rising home sales and relatively low foreclosure sales.
As of September, foreclosure sales nationwide accounted for 13.4% of total home sales, up slightly from August’s 12.7% but down from 16.6% a year ago. Home prices are expected to grow at a more moderate pace in the coming months because housing demand tapers off in the winter. In another sign of slower growth ahead, the leading October sales-to-list price ratio fell to 96.0 from 96.5 in July and August.