The FHFA All Transactions Home Price Index 2nd quarter 2012 report was published today. The Index shows Minneapolis / St Paul is climbing in value with a 5.97 increase on the index since 1st quarter 2012. The State of Minnesota is also doing well, both Minneapolis/St Paul and MN out performing the US HPI Index.
The below chart we can compare; Minneapolis/St Paul metro to Minnesota and the US Home Price Index. (Seasonally Adjusted). It puts into perspective the “rollercoaster ride” Minneapolis/St Paul has been on compared the Nation and the State of MN.
The good news is the Minneapolis / St Paul Index has increased 5.97 since 1st Qtr 2012 and 5.77 since 2nd Qtr 2011.
Minnesota has increased 3.61 since 1st Qtr 2012 and 6.45 since 2nd Qtr 2012. The US has increased 3.28 since 1st Qtr 2012 and 5.45 since 2nd Qtr 2011.
Another indication of housing recovery beginning.
Below is a Map of the FHFA All Transactions HPI for the Nation. Without historical data, it does not really show where in recovery the markets are at – but it is a good snapshot of Housing Affordability.
About the FHFA All Transactions HPI:
The HPI is a broad measure of the movement of single-family house prices. The HPI is a weighted, repeat-sales index, meaning that it measures average price changes in repeat sales or refinancings on the same properties. This information is obtained by reviewing repeat mortgage transactions on single-family properties whose mortgages have been purchased or securitized by Fannie Mae or Freddie Mac since January 1975.
The HPI serves as a timely, accurate indicator of house price trends at various geographic levels. Because of the breadth of the sample, it provides more information than is available in other house price indexes. It also provides housing economists with an improved analytical tool that is useful for estimating changes in the rates of mortgage defaults, prepayments and housing affordability in specific geographic areas.