House prices rose a seasonally adjusted 0.1% for November, according to a Federal Housing Finance Agency (FHFA) report (link opens as PDF) released today.
After bumping up a revised 0.5% for October, these newest numbers indicate slowing price growth for the housing market. Analysts were surprised by the lackluster growth, having predicted a 0.4% increase.
The FHFA House Price Index is calculated using single-family home sales-price information from mortgages sold to or guaranteed by Fannie Mae and Freddie Mac and, at current levels, is comparable to readings from April 2005.
Compared to November 2012, home prices are up 7.6%, but remain 8.9% below their April 2007 peak price.
A more recent January report indicates that new home construction continues to expand at a solid rate, providing some indication for why housing price growth may be slowing.