October 21, 2014

By Alliant Credit Union

U.S. home sale prices in August continue a 30-month trend in year-over-year increases, with August 2014 prices showing an increase of 6.4% nationwide compared to August of 2013, according to the S&P/Case-Shiller U.S. National Home Price Index. All 50 states show a year-over-year home price increase, and foreclosure inventory is down 33% nationally during the same period.

In the short term, prices increased by 0.3% nationwide between August and July. Although this shows a slight slowdown in the rate at which home prices have been increasing, prices continued to rise in almost all of the measured markets. In fact, in the District of Columbia and nine states – Alaska, Colorado, Iowa, Louisiana, Nebraska, North Dakota, Oklahoma, Texas and Wyoming – prices hit all-time highs.

New home sales, according to the U.S. Commerce Department, hit 504,000 in August, an increase of 18% versus July and a 33% increase year-over-year. This steep increase marks the highest level of new home sales since May 2008.