FHFA Home Price Index Increases 4.2% Annually in August

On Tuesday, the Federal Housing Finance Agency (FHFA) released its Home Price Index (HPI®) for August. Home prices, seasonally adjusted, increased 0.3% in August. Year-over-year, prices rose 4.2%. The previously reported 0.1% price decrease in July was revised upward to 0.2%.

For the nine census divisions, seasonally adjusted monthly price changes ranged from a 0.1% decline in the East North Central and New England divisions to a 0.9% increase in the West North Central division. The 12-month changes were all positive, ranging from a 2.4% increase in the West South-Central division to a 6.3% increase in the East North Central division.

Commenting on the report, Anju Vajja, Deputy Director for FHFA’s Division of Research Statistics, said:

“House price appreciation in the United States remained modest for the sixth consecutive month. The slow but continued house price growth and the effect of locked-in interest rates led to persistent housing affordability challenges.”