Home prices rise in 33 states

Thirty-three states have seen an increase in the home prices during the last year. The percentage increase varies between 5 to 10 percent. LoanPerformance has reported recently all the movement in the home prices. This report is the First American’s September 2007 LoanPerformance Home Price Index (HPI).  According to the report, Wyoming, North Carolina, Utah, Maine and Alabama has an increase of 5-10 percent during the year September 2006 to September 2007. Hawaii has seen a 10 percent increase on the home prices.

During the last year, the home prices fell in 17 states. The price started falling in many others after an increase, but the fall has not been able to erase the total increase in prices.
Now, the prices are falling. In 247 of 381 metropolitan areas, covered by First American CoreLogic report, the prices are falling. The balance between the price and the inflation is absent. Eighty-eight of the markets have seen a decline in the prices.

The prices in 159 markets are appreciating but at a meager less than 3 percent. At the same time the inflation is 3 percent on average. If your properties are appreciating at less than 3 percent, then you are losing out money on your investment in the properties.

The areas, which have seen price decline, are found with more numbers of foreclosure filings.  In some areas the rate is higher than the national average. Phoenix, Orlando, Detroit, Tampa, L.A., Cleveland, Miami, Washington D.C., Miami and Atlanta are the places where the foreclosure rate is higher than the national average of one filing per 196 homes.

One-year price changes, top 31 metro areas