Home prices fall .3% in August; 3.6% in 12 months

WASHINGTON, DC – Oct. 22, 2009 – U.S. home prices fell 0.3 percent on a seasonally-adjusted basis from July to August, according to the Federal Housing Finance Agency’s monthly House Price Index. The previously reported 0.3 percent increase in July was unrevised. For the 12 months ending in August, U.S. prices fell 3.6 percent. The U.S. index is 10.7 percent below its April 2007 peak.

The FHFA monthly index is calculated using purchase prices of houses backing mortgages that have been sold to or guaranteed by Fannie Mae or Freddie Mac. For the nine Census Divisions, seasonally-adjusted monthly price changes from July to August ranged from -1.6 percent in the South Atlantic Central Division to + 1.2 percent in the Pacific Division.

Monthly index values and appreciation rate estimates are provided in the table and graph on the following pages. As with FHFA’s quarterly HPI, the estimates are revised as new data become available. Quarterly HPI reports include updated monthly data presented in the same format as the attached table.

For detailed information concerning the monthly HPI, please see the HPI Frequently Asked Questions (FAQ). The next release of monthly and quarterly index data will be on Nov. 24, 2009 and will include monthly data for September and quarterly data for the third quarter of 2009.