GAP BETWEEN APPRAISALS, EXPECTATIONS NARROWS IN MAY
The average home appraisal in May was 0.79% lower than what the owner estimated, according to the Quicken Loans Home Price Perceptions Index (HPPI).
In May, Philadelphia trailed all other cities, with the average appraisal 1.74% lower than what the owner estimated. There is also a new leader among those with a positive HPPI value with Charlotte boasted an average appraisal value 1.99% higher than expected.
Quicken Loans' Home Value Index (HVI) shows that appraisal values reversed course from April's large increase. The nation's average home appraisal was 1.10% lower than in April, nearly erasing last month's growth. The annual measure, on the other hand, continued its positive momentum, with home values rising 3.54% year-over-year at a national level.
The bulk of the national drop in appraisal values came from the West, where home values were 1.74% lower in May than in April. The Midwest, with a month-over-month increase of 0.47%, is the only region with home value growth. All regions continued annual appraisal value increase – ranging from a meager 0.07% bump in the Northeast, to a 4.68% year-over-year jump in the Midwest.