Home prices post biggest jump in over six years: CoreLogic

NEW YORK Tue Dec 4, 2012 10:13am EST

A house for sale is pictured in Alexandria, Virginia in this March 22, 2010 file photo. REUTERS/Molly Riley/Files

A house for sale is pictured in Alexandria, Virginia in this March 22, 2010 file photo.

Credit: Reuters/Molly Riley/Files

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NEW YORK (Reuters) - Home prices posted their biggest annual jump in more than six years in October in a sign the housing sector continues to recover, data analysis firm CoreLogic said on Tuesday.

CoreLogic's home price index rose 6.3 percent compared to October a year ago, the biggest increase since June 2006 and the eighth consecutive increase in home prices nationally on a year-over-year basis, CoreLogic said.

Home prices fell 0.2 percent in October from September but this was due to seasonal factors as the housing market enters the off season, CoreLogic said.

Excluding distressed sales, prices were up 5.8 percent on a yearly basis and rose 0.5 percent month on month.

Homeowners in danger of foreclosure, or in "distress", often sell their homes at a significantly reduced price.

"The housing recovery that started earlier in 2012 continues to gain momentum," said Mark Fleming, chief economist at CoreLogic, said in a statement.

Of the top 100 Core-Based Statistical Areas measured by population, 17 showed year-over-year declines in October, four fewer than in September.

(Reporting by Edward Krudy; Editing by James Dalgleish)

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Comments (5)
Denan wrote:
These price increases come from Chinese and other money buying up homes in depressed areas – not from an honest increase in sales due to a healthy growing economy. As this speculative money drives home prices up, American’s income has declined over the last four years and foreclosures are increasing again.

Open your eyes people – we are being manipulated for political purposes. The government has learned that by generating chaos and FUD (Fear Uncertainty and Doubt) into the economy by not stabilizing itself and letting us know what it is going to do and not do over the next few years, it can keep the economy stagnant with businesses curled in the fetal position waiting for the next government boot to land on their necks…

We are being played.

Dec 04, 2012 11:34am EST  --  Report as abuse
mountainrose wrote:
Banks will resume releasing that massive and growing inventory of foreclosures they have been holding on to and the people who’ve been buying homes over the last yr will join the crowd that took advantage of that home buying tax credit a few years ago now also members of the underwater club. As long as the labor dept continues to report 400,00 new unemployment claims each week nothing much will change, house payment is the last thing to go prime or sub-prime.

Dec 04, 2012 11:37am EST  --  Report as abuse
ConradU812 wrote:
This makes absoulutely no sense in the overall picture of the economy. All other indicators show flat-line or slump, yet the market value of homes jumps over 6%? This has to come from isolated markets that aren’t reflecting the national trend because the increase isn’t reflected anywhere else.

Dec 04, 2012 11:46am EST  --  Report as abuse
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