Even with the housing market slowing down due to seasonality, home prices still showed year-over-year gains in September, and are even rising twice as fast as inflation.
Home prices rose 4 point 9 percent over the last 12 months in September 2015, up from the 4 point 6 percent increase in August 2015, according to the S&P/Case-Shiller Home Price Indices released Tuesday.
According to the data, the 10-City Composite rose 5 percent year-over-year from January to September 2015, while the 20-City Composite increased 5 point 5 percent.
Mortgage loan application defects are becoming less prevalent in the housing market as the Ability-to-Pay rules are reducing fraud risk related to income, while misrepresented income is more likely to be caught on a loan application. First American Financial Corp., released their Loan Application Defect Index Tuesday, which declined by 2 point 5 percent in October 2015 compared to September 2015.