House prices in the Twin Cites metro during August increased slightly behind the national average, according to CoreLogic's Home Price Index, which showed that from August 2013 to August 2014 home prices increased 5.1 percent compared with a 6.4 percent increase nationwide. Prices in the Twin Cities were up 0.9 percent from July to August.
Those figures include distressed sales, which have now fallen to pre-crash levels, according to a recent report from the University of St. Thomas. With heavily discounted foreclosures declining, house prices in the Twin Cities and beyond have continued rising despite a a decline in sales. Early next week we'll have a complete look at the local real estate market when the Minneapolis Area Association of Realtors releases its September housing report. Early reports suggest that sales will be down significantly and prices will post another increase.
CoreLogic's August increase was the 30 consecutive month of higher prices year-over-year, and every state showed an annual increase. In fact, the HPI reached a new high in nine states, including Alaska, Colorado, Iowa, Louisiana, Nebraska, North Dakota, Oklahoma, Texas and Wyoming. CoreLogic predicts that home prices, including distressed sales, will increase 0.2 percent from August 2014 to September 2014 and 5.2 percent from August 2014 to August 2015.
Here's a link to the full report.
