September home prices dip 1.2% in LPS home price index
Home prices dipped 1.2% in September, and partial data for October suggest prices dropped about 1.1% that month, consistent with seasonal declines, according to Lender Processing Services (LPS). To date, the LPS home price index has reflected a 3.7% annual drop in prices. The index summarizes home price trends nationwide by tracking monthly sales in more than 13,500 ZIP codes. The average home sold for $202,000 in September, down 1.2% over the previous month and down 1.8% since the beginning of the year. Home prices have been on a downward trend since the market peaked in June 2006 when the total value of U.S. housing inventory covered by the LPS home price index stood at $10.6 trillion. The value has declined 30.2% since that peak to $7.56 trillion. Price changes were consistent across the country, declining in all ZIP codes. Higher-priced homes had somewhat smaller declines — down 1.2% for the top 20% of homes (prices above $317,000), compared to a decline of 1.4% for the bottom 20% (below $102,000). Write to Justin T. Hilley. Follow him on Twitter @JustinHilley.