US house prices edge past forecasts in September

Home price growth in the States edged past forecasts in September, proving forecasts for a slowdown wrong.

The Federal Housing Finance Agency´s home price index advanced 0.6% month-on-month, edging past economists´ forecasts for an increase of 0.5%.

"Our data indicate that the deceleration in home price growth that we observed in late spring proved to be short-lived," said FHFA Supervisory Economist Andrew Leventis.

"While price growth in select markets has cooled somewhat, for the U.S. as a whole, the third quarter showed no evidence of a widespread slowdown."

To take note, the FHFA pointed out how the HPI´s 6.l% year-on-year gain in the third quarter marked a sharp contrast with the nearly unchanged readings on prices for other goods and services.

Over that time horizon all states recorded price gains, except for Delaware and Washington DC, led by increases in Florida, Oregon, Colorado and Utah.

By census divisions the largest appreciation in home values was observed in Pacific, (1.3%), Mountain (0.7%) and West South Central (0.9%).

In real terms home prices were ahead by approximately 6.0% over the year, FHFA said in a statement.