House prices appreciated by only 0.1% in the second quarter, but rose at a 3.2% rate over the previous four quarters, which was still a 10-year low, according to a housing price index published by the Office of Federal Housing Enterprise Oversight."Prices in the second quarter of 2007 were 3.2% higher than they were in the same quarter of 2006, the lowest annual price change since the 1996-97 period," OFHEO said. OFHEO Director James Lockhart said the second quarter was marked by tighter credit policies, rising foreclosures, and weakening buyer demand. "Significant price declines appear localized in areas with weak economies or where price increases were dramatic during the housing boom," he said. OFHEO collects its pricing data from Fannie Mae and Freddie Mac, and it includes refinancings and home purchase transactions. OFHEO can be found at http://www.ofheo.gov.
