House Prices Continue to Contract in October, Says FHFA

U.S. house prices continued to decline in October, according to data from the Federal Housing Finance Agency (FHFA), which recorded a 1.1% drop for the month.

The fall was slightly better than economists' expectations for a 1.3% decline, and the previous month's 1.3% fall was revised up to a 1.2% contraction.

Over the last twelve months, house prices fell 7.5% after peaking in April 2008 with an 8.8% fall.

The largest contraction came in the South Atlantic and Pacific regions (both down 2.0%), followed by the Middle Atlantic region (down 1.5%) and the East North Central region (down 1.0%).

In the Mountain region, prices grew 0.6% and in New England, prices advanced 0.2% on the month.

By Erik Kevin Franco and edited by Nancy Girgis
©CEP News Ltd. 2008