Columbia, MO Federal Housing Finance Agency Home Price Index (FHFA HPI)

In the Columbia, MO, Federal Housing Finance Agency (FHFA) house price index (HPI), home equity is the difference between the value of a property and the outstanding mortgage balance on the property. Home prices are measured by taking the sale price of a home and subtracting any outstanding mortgage balance on the property. The HPI is calculated using data from Fannie Mae and Freddie Mac's monthly 1003 Mortgage Application Survey.

The HPI for Columbia, MO was 9.4% in December 2020, up from 8.9% in November 2020 and up from 4.8% in December 2019. The HPI for Columbia, MO peaked at 11.0% in September 2020 and has been trending downward since then.

Home equity increased across all 50 states and Washington D.C., with Missouri seeing one of the biggest increases at 9.4%. This is likely due to a combination of factors including low interest rates, which make it cheaper to borrow against your home equity, as well as increasing home values in many markets across the country.

In Columbia, MO specifically, home values have been rising steadily for several years now but have accelerated since 2018 when median sale prices were just over $160,000. In 2020, median sale prices reached $225,000 according to Zillow data - an increase of nearly 40%. This increase in value has led to a corresponding increase in homeowners' equity position as well as making it easier to sell a home for profit if needed.