On Wednesday, at 9 a.m. EST, the Federal Housing Finance Agency (FHFA) will release its House Price Index (HPI) for March. The Index covers single-family housing, using data provided by Fannie Mae and Freddie Mac.
Previously, the FHFA reported in its February HPI that home prices rose 0.8 percent month-over-month. In the report, January's former unchanged index was revised to a 0.2 percent increase.
On a seasonally adjusted national level, prices are now nearly 10 percent higher than their March 2007 peak. Prices have seen a compound annual growth rate of 3.5 percent since 1991, 3.4 percent since 2000, and 6.2 percent since 2012.
Out of all nine census divisions, the Mountain region saw the biggest annual increase in prices, with a 9.5 percent uptick over the year. The region includes Montana, Idaho, Wyoming, Nevada, Utah, Colorado, Arizona, and New Mexico. The Pacific division—Hawaii, Alaska, Washington, Oregon, and California—saw a 7.6 percent annual rise, while the Middle Atlantic—New York, New Jersey, and Pennsylvania—saw the least year-over-year growth with just 4.6 percent.
Other Indices have been reporting similar increases, such as First American's Real House Price Index (RHPI). The RHPI revealed that home prices have dropped by 32.8 percent since the pre-recession peak, but are still at a relative high. Real house prices rose 0.7 percent between January and February. The low inventory has meant that home prices have remained high.
"The main story in most markets this spring is the lack of supply. Combined with unfaltering demand, the lack of supply continues to pressure unadjusted prices higher in one of the strongest spring sellers' markets seen in recent memory," said Mark Fleming, Chief Economist at First American.