Federal Housing Finance Agency Reports January House Prices Increased 12% Year-Over-Year

According to the latest Federal Housing Finance Agency’s House Price Index (FHFA HPI®), house prices rose nationwide in January, up 1.0% from the December 2020 reading. Year-over-year house prices have increased 12.0% (January 2020 to January 2021). The previously reported 1.1% price change for December 2020 was revised upward to 1.2%. For the nine census divisions, seasonally adjusted monthly house price changes from December 2020 to January 2021 ranged from -0.2% in the East South-Central division to +1.5 percent in the Mountain division. The 12-month changes ranged from +10.2 % in the West South-Central division to +14.8% in the Mountain division. In remarks prepared for the release of the report Dr. Lynn Fisher, FHFA’s Deputy Director of the Division of Research and Statistics said, “While house prices experienced historic growth rates in 2020 and into the new year, the monthly gains appear to be moderating. House prices increased by 1.0% in January, which is relatively still high, but represents the smallest month-over-month gain since June 2020.”