Home prices jump 11.8%
New CoreLogic report shows 21 months of consecutive gains
Home prices, including distressed sales, shot up 11.8% in November 2013 when compared to a year earlier, representing the 21st consecutive monthly year-over-year increase in home prices nationally.
On a month-over-month basis, homes prices nationwide, including distressed sales, rose a slight 0.1% in November 2013 compared to October 2013.
"The housing market paused as expected in November for the holiday season with very low month-over-month appreciation. Year-over-year home prices are up an impressive 11.8%," said Mark Fleming, chief economist for CoreLogic
According to the latest CoreLogic Pending HPI, December 2013 home prices, including distressed sales, are expected to dip 0.1% month-over-month from November to December 2013, with an estimated increase of 11.5% on a year-over-year basis from December 2012.
"The irony is that unfortunately consumers are behind the curve when it comes to recognizing when it is good to buy a house. The best time to buy in most markets would have been around 2010 or 2011, when foreclosures were peaking and home prices were still headed down but about to bottom out,” explained Daren Blomquist, vice president of RealtyTrac.
However, Blomquist noted that it is still a decent time to buy for many consumers because the economy is stronger and home prices are still relatively affordable in many markets.
Furthermore, excluding distressed sales, December 2013 home prices are projected to rise 0.2% month-over-month from November 2013 and 10.6% from December 2012.
"On a year-over-year basis, home prices have appreciated every month in 2013. Twenty-one states and the District of Columbia are now at or within 10% of their peaks," said Anand Nallathambi, president and CEO of CoreLogic. “The outlook for 2014 looks a bit less robust as regulatory complexities and tight credit can be expected to cool the housing market."
“Consumers are becoming more confident in the housing market, which bodes well for the next few years which should see continued growth in home prices and building and strong sales activity — whether to investors or owner-occupants,” Blomquist said.