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Home prices grew at an annual rate of 7.2 percent in December 2016, rising month-over-month from November by 0.8 percent, according to CoreLogic’s recently released Home Price Index (HPI) Forecast. The Forecast projects a moderating price growth rate in the year ahead, at 4.7 percent from December 2016 to December 2017.

“As of the end of 2016, the CoreLogic national index was 3.9 percent below the peak reached in April 2006,” says Dr. Frank Nothaft, chief economist for CoreLogic. “We expect our national index to rise 4.7 percent during 2017, which would put homes prices at a new nominal peak before the end of this year.”

“Last year ended with a bang with home prices up over 7 percent nationally, led largely by major metro areas,” says Anand Nallathambi, president and CEO of CoreLogic. “We expect prices to continue to rise just under 5 percent in 2017, buoyed by lack of supply and continued high demand.”

Source: CoreLogic

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