Home prices rise in December
Prices rise nearly 1 percent
Home prices rose on a national level in the month of December, nearly matching gains seen the previous month, Clear Capital revealed in its monthly home data report.
Clear Capital’s Home Data Index (HDI) Market Report for December showed that national home prices rose 0.9 percent in December quarter-over-quarter, which is very close to the quarterly growth rate of 1.0 percent seen the previous month in November. Clear Capital’s quarterly change analyses are performed on a rolling quarter basis.
According to the report, Clear Capital predicts further home price gains in 2013, although on a smaller scale.
“Overall the housing recovery still shows evidence of pushing ahead, as indicated by our December home price trends and 2013 forecasts,” Dr. Alex Villacorta, Director of Research and Analytics at Clear Capital, said in a statement. “Quarterly home prices mostly mirrored those of last month and suggest that some buyers took pause in the initial winter months. Yet, looking back over 2012, national yearly price gains of 4.9% are still strong.”
All regions experience price gains
Each of the four major U.S. regions experienced yearly growth in home prices, with the West leading the way.
Year-over-year growth in home prices in the West came in at 11.8 percent in December, the largest yearly gain seen of the four regions.
The West experienced a continuation of impressive year-over-year growth, up to 11.8% in December. The ramp up in gains again reflects a market that was hard hit, and, like national prices, saw its lowest price level at the start of 2012.
The South saw yearly home price gains of 4.0 percent in December, while December data in the Midwest pointed to 3.0 percent gains year-over-year.
Home prices in the Northeast grew at 1.5 percent, the smallest regional gain seen in 2012.
December gains bring strong finish to 2012
Home prices ended 2012 on a strong note, thanks to December results. Overall yearly prices increases on a national level came in at 4.9 percent.
Clear Capital forecasts 2.1 percent overall growth in 2013, which is more than a 50 percent reduction from 2012.
“Whether by perception or actual decrease in buying power for the average consumer, residual effects of the fiscal cliff deal could cause housing to change course,” Villacorta said. “But as it stands now, home prices have continued to show resiliency by posting their largest yearly gain in nearly two and a half years.”