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

The Joplin, MO, Federal Housing Finance Agency (FHFA) House Price Index (HPI) is a weighted, repeat-sales index that measures average price changes in repeat sales or refinancings on the same properties. The index was created in order to be a more timely measure of home price changes than other indices because it only uses data from closed loans.

As of December 2020, the Joplin HPI was at 159.9, up from 155.4 in November 2020 and up from 148.8 in December 2019. This means that home prices in Joplin have increased by 7.7% over the past year.

The FHFA HPI is calculated using data from Freddie Mac and Fannie Mae's Single-Family Mortgage Database. The database contains information on nearly all conventional first mortgages purchased or securitized by Freddie Mac and Fannie Mae since January 1975.

To be included in the database, a loan must have been for the purchase of a one-to-four family property that was not owner-occupied at origination; have a term greater than or equal to 15 years; and have an original loan amount below $417,000 (the GSE limit as of December 2015).

The Joplin HPI is based on a three-month moving average of sales prices for properties with conventional first mortgages purchased or securitized by Freddie Mac and Fannie Mae between October 2020 and December 2020.

In order to account for the fact that some properties sell multiple times over the course of a year while others do not sell at all during that time period, each sale is given a weighting factor based on when it occurred within the three-month period. Sales occurring closest to the end of the three-month period are given higher weighting factors than those occurring at the beginning of the period because they are more indicative of current market conditions