Government index shows US home prices rose 0.3 percent in July; still 10.5 percent below peak
- On Tuesday September 22, 2009, 10:53 am EDT
WASHINGTON (AP) — A government index shows U.S. home prices rose slightly in July from the previous month, further evidence the housing market is stabilizing.
The Federal Housing Finance Agency says prices rose 0.3 percent in July from the prior month, but June’s price increase was revised down to 0.1 percent from 0.5 percent.
The index is still 4.2 percent below last year’s levels and 10.5 percent off its peak from April 2007. It is based on loans owned or guaranteed by mortgage finance companies Fannie Mae and Freddie Mac.
The index has declined less than other housing market measurements because it excludes the most expensive homes and some of the subprime loans that have fallen into foreclosure.