Decline In Price Appreciation Observed Across Region
Clear Capital released its monthly Home Data Index™ (HDI™) report, showing a decline in quarter-over-quarter home price growth for the Northeast. As a whole, the region is experiencing a combination of slow growth, negative growth and stagnation in home prices.
The HDI report’s aggregated data through September revealed that Pennsylvania metros, Pittsburgh and Philadelphia, continue to grow slower than other major MSAs in the region, with quarter-over-quarter growth rates of 0.2 percent and 0.4 percent, respectively.
Although national HDI report data shows quarter-over-quarter home price growth holding steady at 0.8 percent, the Northeast is experiencing a quarter-over-quarter decline in home appreciation and is down 0.3 percent from the high of 0.9 percent in April.
“Our data and analytics are showing quite the contrast from coast to coast in the nation. The West continues to accelerate, holding 8 of the 15 fastest growing metros, while the Northeast continues to show a decline in home appreciation in the region,” commented Clear Capital CEO and Co-Founder Duane Andrews.
Despite low regional performance, Providence, Rhode Island and New York managed to secure positions in the top 15 highest performing major markets with 1.7 percent and 1.2 percent quarter-over-quarter growth.
In contrast, Hartford, Connecticut is the only MSA seeing negative quarter-over-quarter growth at -0.1 percent and 1.3 percent year-over-year, which is slower than the rate of inflation at 1.7 percent. Similarly, Rochester is experiencing stagnation in home prices, up only 0.2 percent quarter-over-quarter and 1.7 percent year-over-year, matching inflation.
The Clear Capital August HDI report features the top 15 appreciating and depreciating MSAs based on quarter-over-quarter and year-over-year data, as well as national performance based on four separate regions: West, Midwest, South and Northeast.
Clear Capital’s HDI platform runs on patent-pending indexing technology and provides housing market data and analysis that assist mortgage lenders and financial organizations with a holistic view of market performance, trends and forecasting.
About the Clear Capital® Home Data Index (HDI) Market Report
The Clear Capital HDI Market Report provides insights into market trends and other leading indices for the real estate market at the national and local levels. A critical difference in the value of the HDI Market Report is the capability of Clear Capital to provide more timely and granular reporting than nearly any other home price index provider.
Clear Capital® HDI Methodology
- Generates the timeliest indices in patent pending rolling quarter intervals that compare the most recent four months to the previous three months. The rolling quarters have no fixed start date and can be used to generate indices as data flows in, significantly reducing the multi-month lag time experienced with other indices.
- Includes both fair market and institutional (real estate owned) transactions, giving equal weight to all market transactions and identifying price tiers at a market specific level. By giving equal weight to all transactions, the HDI is truly representative of each unique market.
- Results from an address-level cascade create an index with the most granular, statistically significant market area available.
- Provides weighted repeat sales and price-per-square-foot index models that use multiple sale types, including single-family homes, multi-family homes, and condominiums.
About Clear Capital®
Clear Capital is a nationwide provider of real estate valuations, data and analytics, quality assurance services and technology solutions. The Company’s customers include mortgage lenders, servicers, investors, GSEs, and Ratings Agencies. Clear Capital products include appraisals, broker price opinions, property condition inspections, value reconciliations, appraisal review and risk scoring, automated valuation models, home data indices, and platform solutions. The Company’s innovative technology, experienced valuation experts, and a well-trained network of more than 30,000 field experts sets a new standard for accurate, up-to-date, and well documented valuation data and assessments. Morningstar Credit Rating issued Clear Capital its highest Residential Vendor Ranking – MOR RV1.
The information contained in this report is based on sources that are deemed to be reliable; however no representation or warranty is made as to the accuracy, completeness, or fitness for any particular purpose of any information contained herein. This report is not intended as investment advice, and should not be viewed as any guarantee of value, condition, or other attribute.