LPS Home Price Index Rises; 9 of The Top 10 Metro Areas in CA

Lender Processing Services, Inc. (LPS) said Monday that its Home Price Index (HPI) for February was up 1.0 percent to $210 from the end-of-January Index of $208.  The February 2013 index is 7.03 percent higher than the $196 HPI at the end of February 2012 but remains well below the peak HPI of $265 in June 2016.

The LPS HPI is based on a repeat sales analysis of home prices as of their transaction dates for each of more than 15,500 ZIP codes.  It represents the price of non-distressed sales by taking into account price discounts for sales of foreclosed homes and short sales.

States with the largest month over month increases in HPI were California and Washington State which were both up 2.2 percent, Nevada with a 1.8 percent increase and Hawaii and Illinois up 1.6 percent and 1.4 percent respectively rounded out the top five states. 

Connecticut was the only state where the HPI declined; it was down 0.3 percent.  Other states with small but positive month-over-month changes were Vermont and Rhode Island (0.2 percent each), and Oklahoma (0.3 percent). 

The top three metropolitan areas with the largest increases compared to January were in California; San Jose (3.2 percent), San Francisco (2.8 percent), Vallejo and (2.6 percent).  Number four was Seattle at 2.5 percent, but the remainder of the top five metro areas were also California cities.  

All five of the cities with negative HPI changes in February were in Connecticut - Hartford (-0.4 percent), Norwich, New Haven, Bridgeport, and Torrington, all at -0.2 percent.  The only other metro area in the negative column was Palm Bay, Florida (-0.1 percent.)