(By Balachander) Home prices in U.S. rose 6.3 percent in October 2012, the biggest jump since June 2006, in a sign the housing recovery continues to gain momentum, according to property information provider Corelogic Inc. (NYSE: CLGX).
CoreLogic Pending HPI, a metric that provides the most current indication of trends in home prices, expects home prices to increase 7.1 percent in November on a year-over-year basis.
"The recovery is geographically broad-based with almost all markets experiencing some appreciation," said Mark Fleming, chief economist for CoreLogic. "Sand and energy states continue to experience the most robust appreciation and some judicial foreclosure states are even recording increasing prices."
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"We are seeing an ongoing strengthening of the residential housing market," said Anand Nallathambi, president and CEO of CoreLogic. "Reduced inventories and improving buyer demand are contributing to stability and growth in home prices which is essential to the long term health of the housing market and the broader economy."
On a month-over-month basis, including distressed sales, home prices fell by 0.2 percent in October 2012.
CoreLogic expects declines in month-over-month home prices, saying the housing market enters the offseason. On the same basis, November home prices are expected to fall by 0.3 percent.
Excluding distressed sales, CoreLogic expects November house prices to increase 7.4 percent from November 2011 and by 0.5 percent from October 2012.