Prices were up 10.2 percent from October 2019 to October 2020, according to the Federal Housing Finance Authority’s monthly home price index, released on Wednesday.

Home prices climbed 10.2 percent year over year in October, the largest annual gain reported in more than 15 years, according to data released Wednesday by the Federal Housing Finance Authority (FHFA). 

The massive gains in the house price index (HPI) were propelled by extremely low mortgage rates — which continue to set records seemingly every week — and a limited supply of homes for sale, according to Lynn Fisher, FHFA’s deputy director of the division of research and statistics.

“U.S. house prices rose for the fifth straight month since states re-opened their local economies,” Fisher said. “The 12-month gain of 10.2 percent in October is the highest annual appreciation observed since the 2004-2005 period.”

The data does not reflect some of the most recent lockdown orders that have been implemented locally, since the start of the latest COVID-19 wave.

Prices increased in every single region tracked by FHFA. The Mountain and New England regions saw the biggest annual gains, with prices increasing 12.5 percent year over year.

The HPI, according to the FHFA, is, “a weighted, repeat-sales index, meaning that it measures average price changes in repeat sales or refinancings on the same properties. This information is obtained by reviewing repeat mortgage transactions on single-family properties whose mortgages have been purchased or securitized by Fannie Mae or Freddie Mac since January 1975.”

Email Patrick Kearns

Show Comments Hide Comments
Sign up for Inman’s Morning Headlines
What you need to know to start your day with all the latest industry developments
By submitting your email address, you agree to receive marketing emails from Inman.
Success!
Thank you for subscribing to Morning Headlines.
Back to top
×
Log in
If you created your account with Google or Facebook
Don't have an account?
Forgot your password?
No Problem

Simply enter the email address you used to create your account and click "Reset Password". You will receive additional instructions via email.

Forgot your username? If so please contact customer support at (510) 658-9252

Password Reset Confirmation

Password Reset Instructions have been sent to

Subscribe to The Weekender
Get the week's leading headlines delivered straight to your inbox.
Top headlines from around the real estate industry. Breaking news as it happens.
15 stories covering tech, special reports, video and opinion.
Unique features from hacker profiles to portal watch and video interviews.
Unique features from hacker profiles to portal watch and video interviews.
It looks like you’re already a Select Member!
To subscribe to exclusive newsletters, visit your email preferences in the account settings.
Up-to-the-minute news and interviews in your inbox, ticket discounts for Inman events and more
1-Step CheckoutPay with a credit card
By continuing, you agree to Inman’s Terms of Use and Privacy Policy.

You will be charged . Your subscription will automatically renew for on . For more details on our payment terms and how to cancel, click here.

Interested in a group subscription?
Finish setting up your subscription
×