Residential Home Price Index
Approximately two-thirds of the nation’s 113 million occupied housing units are owner occupied, with approximately 88% of these being single family structures. Home ownership is the easiest way for households to build personal wealth. In recent years, however, a housing bubble and subsequent economic recession has resulted in a sharp correction in housing prices throughout the nation. The leading measure used to track changes in residential home prices is the S&P/Case-Shiller Index.
About the S&P/Case-Shiller Residential Home Price Index
The S&P/Case-Shiller Home Price Indices provide reliable and consistent benchmarks of U.S. housing prices. They measure the average change in home prices in 20 major metropolitan areas, including the Tampa-St. Petersburg-Clearwater Metropolitan Statistical Area (Tampa MSA). The Tampa MSA consists of Pinellas, Hillsborough, Hernando and Pasco counties.
The monthly indices are based on the “repeat sales method” which tracks prices of homes that have sold at least twice in order to capture the true appreciated value of each specific home. This approach is widely recognized as the most reliable method for measuring housing price changes. For detailed information and methodology click the following link:
Tampa MSA Home Price Trends
The S&P/Case-Shiller Residential Home Price Index for the Tampa MSA averaged 132 during Oct-Dec 2010, 38% above the base period of January 2000, but 42% below the July 2006 housing bubble peak of 238. Although the general trend of home prices in the Tampa MSA is similar to that experienced throughout the U.S., the price index in the Tampa MSA during the peak of the housing bubble was approximately 25% above the national average. Based on recent trends, the sharp decline in home prices since 2006 appears to have leveled off. Charts 1 and 2 compare home price trends for the Tampa MSA vs. the U.S. average.