May 31, 2007 - Home Prices Gain S-l-o-w-l-y
Single-family home prices increased an average of 4% compared to the first quarter of last year, said the Office of Federal Housing Enterprise. The report does not give dollar amounts, only percentage changes.
Two states - Massachusetts and Michigan - were the only two states to see declines in price, down 0.6% and 0.7%, respectively.
Despite all the bad news regarding the nation’s housing industry, there still are areas that are continuing to have double-digit price gains. The biggest increases came from Utah, at 17%, and Idaho and Montana, both at 12%.
The office’s Home Price Index measures changes in actual selling prices and appraisal values for refinanced homes. It excludes home that have mortgages higher than $417,000.
Another government report showed U.S. construction spending barely increased. Spending was up 0.1% in April, according to the Commerce Department’s latest figures on the economy. Overall, the country’s gross domestic product increased 0.6% in the first quarter.