Sioux City, IA-NE-SD Federal Housing Finance Agency Home Price Index (FHFA HPI)

The Sioux City, IA-NE-SD, Federal Housing Finance Agency (FHFA) House Price Index (HPI) is a weighted, repeat-sales index measuring average price changes in single-family houses in the metropolitan statistical area. The HPI is a broad measure of the movement of single-family house prices and covers both new and existing houses.

The FHFA HPI for Sioux City was 167.1 in 2020Q1, up 1.2% from 2020Q4 and up 2.8% from 2019Q1.

Home equity is the portion of a home's value that is owned outright by the homeowner, free and clear of any liens or mortgages. In other words, it's the market value of your home minus any outstanding mortgage debt.

As of 2020Q1, homeowners in Sioux City had an average of $85,000 in home equity—an increase of $5,000 from 2019Q4 and an increase of $10,000 from 2019Q1. Homeowners with mortgages had an average loan-to-value ratio (LTV) of 78%, down from 79% in 2019Q4 and 80% in 2019Q1.

Rising home prices are good news for homeowners because they lead to increased home equity—the difference between what your home could be sold for on the open market and what you currently owe on your mortgage—and can provide a financial cushion against unexpected expenses or job loss. For those looking to buy a home, however, higher prices can make affordability more difficult.

In Sioux City specifically, we've seen healthy gains in both home prices and equity over the past year thanks to low interest rates and strong demand for housing amid population growth. While this has made it more difficult for first-time buyers to enter the market, current homeowners are benefiting from increased equity positions that can provide financial security during these uncertain times.