CoreLogic’s Home Price Index showed that home prices nationwide fell 0.1% in August, though prices were 3.9% higher when compared to August of last year. CoreLogic forecasts that home prices will rise 0.1% in September and 2.3% in the year going forward, though their forecasts tend to be conservative.
What’s the bottom line? CoreLogic’s appreciation data has been weaker than Case-Shiller’s, which is considered the gold standard in tracking changes in residential real estate values. Case-Shiller’s latest report showed that home values nationwide were 5% higher in July than a year earlier, while the Federal Housing Finance Agency also reported 4.5% annual growth over that same period. These reports show that homeownership continues to provide a significant wealth creation opportunity.