LPS Price Index Inches Up in August

Home prices continue to rise, albeit with some dampening due to seasonal impacts. However, prices are still appreciating faster than last year, according to ""Lender Processing Services'"":http://www.lpsvcs.com/Pages/default.aspx (LPS) Home Price Index report for August.

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LPS calculated a 0.4 percent monthly home price increase in August and a 9 percent annual rise.

Both calculations are lower than the ""S&P Case-Shiller Home Price Indices,"":https://themreport.com/articles/august-case-shiller-indices-rise-at-fastest-rate-since-february-2006-2013-10-29 which calculated a 1.3 percent monthly increase and a 12.8 percent annual increase.

Both indices concur that monthly price appreciation is slowing.

The LPS Home Price Index reached $231,000 in August, which is 14.3 percent below the national peak reached in June 2006.

Three states posted price gains of at least 1 percent in August, and three states posted price declines over the month.

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Nevada topped the charts with a 1.4 percent price gain, while Florida and Michigan followed with 1 percent price increases in August.

Rhode Island, Colorado, and Pennsylvania were the only states where prices depreciated in August. Prices declined 0.3 percent in Rhode Island and Colorado and 0.1 percent in Pennsylvania.

Six of the top 10 metros with the greatest price appreciation in August are located in Florida.

Lakewood, Florida, tied with Reno, Nevada, for greatest price appreciation over the month with a 1.5 percent increase.

Orlando, Florida, followed with appreciation of 1.4 percent.

Las Vegas, Nevada, and Detroit, Michigan, both experienced price increases of 1.3 percent in August.

Two Colorado metros appeared on the top 10 list of metros with the greatest depreciation over the month of August.

In fact, Colorado Springs posted the greatest depreciation--a 0.6 percent decline.

Kennewick, Washington, posted the second-greatest price decline, coming in at 0.4 percent.

Denver, Colorado, experienced a 0.3 percent decline in prices, as did Spokane, Washington; Toledo, Ohio; and Birmingham, Alabama.

LPS also noted that national home sales in August reached their highest level since 2007.