August Price Decline Erases July Gain, FHFA Says
US home prices fell 0.3% on a seasonally adjusted basis from July to August, erasing the 0.3% gain between June and July, according to the Federal Housing Finance Agency’s (FHFA) monthly house price index. For the 12 months ending in August, U.S. prices fell 3.6% and the index is 10.7% below its April 2007 peak. Regionally, the Pacific Census Division — Alaska, California, Hawaii, Oregon and Washington — experienced a 1.2% increase in seasonally adjusted prices from July to August, the greatest of the nine divisions. The South Atlantic division — Delaware, District of Columbia, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia and West Virginia — experienced a 1.6% decrease in prices during the same period, the biggest loss in the country. The Mountain division — Arizona, Colorado, Idaho, Nevada, New Mexico, Montana, Utah and Wyoming — experienced the greatest annual decrease in prices, 7.8% on a seasonally adjusted basis. The West South division — Arkansas, Louisiana, Oklahoma and Texas — experienced a 0.4% increase year-over-year, the only division to have an annual increase in prices. The FHFA monthly index is calculated using purchase prices of houses backed by mortgages sold to or guaranteed by Fannie Mae (FNM) or Freddie Mac (FRE). Write to Austin Kilgore.