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July 15, 2015

FNC Index: May Home Prices Up 1.2%

In a sign that the U.S. housing market is on track for a strong spring/summer buying season, home prices continue to show solid gains in May, according to the latest FNC Residential Price Index™ (RPI). Prices across the country climbed 1.2% following an upwardly-revised April which saw the largest March-to-April seasonal gain since 2005.

With homes selling at rapid pace, supply in many local markets remains relatively challenged amid rising sales. “While the participation of first-time home buyers has reportedly reached record highs, rising demand from potential trade-up buyers has also contributed importantly to the price growth in many markets,” said Bob Dorsey, FNC’s chief data and analytics officer. “Trade-up buyers continue to capture moderate to modest gains on their investment; in May 2015, realized home price appreciation, measured at an annualized rate, averages 2.6% across the country.”


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