Market Studies

Homes with mortgages owned by Fannie Mae or Freddie Mac gained in prices both monthly and yearly in July, according to the FHFA monthly House Price Index (HPI). In July, prices rose 0.2 percent on a seasonally adjusted basis from June and rose 3.7 percent from July 2011. The index currently sits 16.4 below its April 2007 peak.

Major metro areas such as Phoenix and Atlanta aren't the only places where investment opportunities abound. Small towns with populations between 200,000 and 500,000 have plenty to offer investors despite their smaller size, according to a quarterly report from Local Market Monitor (LMM) and HomeVestors of America, Inc.

U.S. home prices continued to increase in July, according to Case-Shiller, with its 20-city index up 1.6 percent from June and the 10-city index up 1.5 percent. The 10- city index rose to its highest level since November 2010 and the 20-city index to the highest level since October 2010. Price rose month-month in all of the 20 cities. Year-year, the 10-city index was up 0.6 percent and the 20-city index rose 1.2 percent. Economists surveyed by Bloomberg had expected the 20 city index to increase 1.7 percent from June and 1.2 percent from July 2011.

The company released an examination of the Badger State’s economy as part of its ongoing series on swing states in the 2012 election. Whereas states like Colorado and New Hampshire have fair-to-middling economic pictures, IHS called Wisconsin’s employment situation in 2012 ""grim.""

The popularity of FHA mortgages is slowing down, while the use of mortgage financing is growing overall, according to the Campbell/Inside Mortgage Finance HousingPulse Tracking Survey. FHA-backed transactions accounted for 25.9 percent of home purchase transactions in August, a decrease from 27.3 percent in January. Overall, mortgages were used to finance 68.9 percent of home purchase transactions in August, an increase from 67.5 percent in July.

According to data released Monday, the total delinquency rate (for loans 30 or more days past due but not in foreclosure) was 6.87 percent in August, down 2.3 percent from July. Year-over-year, delinquencies fell 10.6 percent. An estimated 3,430,000 properties were 30 days or more past due (but not in foreclosure) at the end of August. Approximately 1,520,000 were 90 or more days delinquent but not in foreclosure.

Across the United States, 26 states recorded unemployment rate increases in August, while 12 states and the District of Columbia posted decreases. BLS also reported that non-farm payroll employment increased in 28 states, with Texas, Florida, and Missouri leading the pack in month-over-month increases. Meanwhile, Virginia, D.C., and Washington led the 21 states that saw a decline in employment. Colorado was the only state with no changes reported.

Owners of vacation rental properties reported higher occupancy rates this year compared to last summer, according to a report from HomeAway. The report found 72 percent of vacation property owners who consider summer to be their peak season saw occupancy rates at 76 percent or higher, up from 68 percent last summer.

The picture gets rosier for housing as home prices continue their climb back to the top. One recent price index puts the July increase for prices at 0.9 percent, with prices achieving their first sustained recovery on a year-over-year basis since the market went bust in 2007.

IHS Global Insight's examination of presidential swing states continued Thursday with a look at New Hampshire's relatively shaky economy. Growth performance in the Granite State has been mostly unimpressive. The state's 0.4 percent average job gain for the first two quarters of the year included payroll shrinkage across a number of sectors, including manufacturing, retail trade, finance, administrative support, and healthcare.