JACKSONVILLE, Fla. – Dec. 26, 2012 – Lender Processing Services, Inc. (NYSE: LPS), a leading provider of integrated technology, data and analytics to the mortgage and real estate industries, today released its latest LPS Home Price Index (HPI) report, based on October 2012 residential real estate transactions. The LPS HPI combines the company’s extensive property and loan-level databases to produce a repeat sales analysis of home prices as of their transaction dates every month for each of more than 15,500 U.S. ZIP codes. The LPS HPI represents the price of non-distressed sales by taking into account price discounts for REO and short sales.
Note: All dollar figures are in thousands.
Table 2 – HPI from 2005 – 2012. Percentages are relative changes of HPI from dates shown to October 31, 2012
Tables 3-5 give brief summaries of October data for the largest states and metros, and Tables 6 and 7 provide more detail, as in Table 2.
Table 6: Details for largest 21 states in alphabetical order. Percentages are relative changes of HPI from dates shown to October 31, 2012. Numerical ranking by most recent month’s percentage change follows state name.
Table 7: Details for largest 40 metropolitan areas covered by LPS data in alphabetical order. Percentages are relative changes of HPI from dates shown to October 31, 2012. Numerical ranking by most recent month’s percentage change follows metro name.
Table 7 (cont.)
About the LPS Home Price Index
The LPS HPI is one of the most complete and accurate home price sources available. It summarizes sales concluded during each month using a repeat sales analysis of home prices as of their transaction dates. Each month for each of more than 15,500 U.S. ZIP codes, the LPS HPI reports five price levels (quintiles) along with REO discount rates for each ZIP code, which are used in the HPI calculations to correct for the impact on estimates of open-market prices that REO sale prices would have. This level of detail is provided for four property groupings in every ZIP code: i) all residential properties, ii) condominiums, iii) single-family housing and iv) other types of residential properties. Home prices are available with or without seasonal adjustments
The LPS HPI provides aggregates of all these values for larger geographies than ZIP codes: cities, counties, states, the nation and statistical areas defined by the White House Office of Management and Budget. The five historical paths of price levels can be easily used to find price paths of intermediate prices. By combining property and loan data in its repeat sales analysis, the LPS HPI covers about 83 percent of single-family residential properties in the U.S. The innovative approach used to maximize geographical resolution enables the LPS HPI to meaningfully cover about 98 percent of these properties at the ZIP-code level.
In this press release, LPS reports price changes of a 'representative' home purchased January 31, 2010, at the average HPI computed from LPS data through January 31, 2012. This price varies across the country; the value for the nation was slightly more than $210,000.
The LPS HPI provides the financial industry with the most accurate valuations available from an HPI – accuracies competitive with AVMs in out-of-sample tests. The LPS HPI is also the most accurately timed home-price information available – detecting market changes sooner than other HPIs.
About Lender Processing Services
Lender Processing Services (NYSE: LPS) is a Fortune 1000 company headquartered in Jacksonville, Fla., employing approximately 8,000 professionals. LPS delivers comprehensive technology solutions and services, as well as powerful data and analytics, to the nation’s top mortgage lenders, servicers and investors. As a proven and trusted partner with deep client relationships, LPS offers the only end-to-end suite of solutions that provides major U.S. banks and many federal government agencies the technology and data needed to support mortgage lending and servicing operations, meet unique regulatory and compliance requirements and mitigate risk.
These integrated solutions support origination, servicing, portfolio retention and default servicing. LPS’ servicing solutions include MSP, the industry’s leading loan-servicing platform, which is used to service approximately 50 percent of all U.S. mortgages by dollar volume. The company also provides proprietary data and analytics for the mortgage, real estate and capital markets industries. For more information, please visit www.lpsvcs.com