While national home prices slightly dipped 0.4% in Q409 compared to Q408, four of the nine Census Bureau regions experienced price gains, a sign of overall steadiness in the market, according to Freddie Mac’s (FRE) conventional mortgage home price index (HPI). The quarter-over-quarter decline in 2009 was better than the 9.5% drop between Q408 and Q407. Compared to Q309, prices were down 1.4% in Q409. The index is a gauge of home prices based on conventional purchase mortgages and excludes refinance loans. Freddie Mac chief economist Frank Nothaft said typically prices will decline in the fourth quarter because of seasonal impacts, but those were lessened this year. “Mortgage rates on 30-year fixed-rate loans hit an all-time low in Freddie Mac’s Primary Mortgage Market Survey in December and averaged 4.9% over the fourth quarter. Low rates coupled with the first-time homebuyer tax credit helped boost home sales to their highest level in two-and-a-half years, seasonally adjusted,” Nothaft said. Regionally, the Pacific Census Bureau region had the greatest quarter-over-quarter increase at 1.6%, followed by increases in the West South Central (1.5%), West North Central (1.1%) and the East South Central (0.8%) regions. The New England and Middle Atlantic had the smallest quarter-over-quarter declines, both at 0.1%, followed by declines in the East North Central (0.9%), South Atlantic (1.8%) and Mountain (7%). Freddie Mac also produces a “Classic Series” HPI that includes data from both home purchase transactions and mortgage refinancings, with refinance loan values determined by appraisals. In that index, prices declined 4.3% in Q409 compared to Q408, but only 0.7% compared to Q309. Since appraisals are backwards looking and rely on previous comparable sales to determine value, Freddie Mac said the Classic Series HPI typically lags changes in the purchase-only index. No region in the Classic Series HPI posted a quarter-over-quarter gain. The biggest drop was in the Mountain division, which experienced an 8.1% decrease from Q408 to Q409, followed by declines of 5.5% in both the South Atlantic and Pacific regions, and drops in the East North Central (4.1%), Middle Atlantic (3.8%), New England (3.7%), West North Central (3.2%), East South Central (2%) and West South Central (0.3%) divisions. Write to Austin Kilgore. The author held no relevant investments.
Most Popular Articles
HUD tests a new Operation Breakthrough for today’s housing crisis
“Gallia est omnis divisa in partes tres.” All Gaul is divided into three parts. Julius Caesar used those words more than 2,000 years ago to begin an account of military conquest. America’s housing affordability challenge might be described similarly. Like Gaul of yore, it divides into three parts: talk, action, and outcomes. Identifying the three […]
Jun 23, 2026
-
Fannie Mae to expand title pilot program, Pulte says
Jun 24, 2026 -
Why we can’t get more housing construction in the US
Jun 24, 2026 -
Housing demand holds steady as regional inventory trends reshape the market
Jun 25, 2026 -
Young buyers are priced out in most U.S. metros, Pew data shows
Jun 25, 2026 -
Mortgage performance steady in May as calendar drives delinquency bump
Jun 26, 2026
Latest Articles
Caregiver survey shows widespread burnout, with Gen Z hit hardest
Half of Gen Z caregivers said caregiving has damaged personal relationships, exceeding rates reported by millennials (41%) and Gen X (38%).
-
DeSantis signs Live Local 4.0 housing reform into Florida law
-
eXp agent builds top RealTrends Verified team despite cancer battle
-
The ROAD Act and the 26.4% regulatory cost stack on new homes
-
Midwestern markets emerge as hotspots for rental momentum
-
CFPB, facing staffing constraints, moves to expand mortgage credit box