US House Prices Flat in January: FHFA

US house prices were unchanged in January from the previous month on a seasonally adjusted basis, the US Federal Housing Finance Agency (FHFA) reported.

House prices in January were still 19.2 percent below the April 2007 peak and roughly the same as the February 2004 level, said FHFA, federal regulator of US mortgage giants Fannie Mae and Freddie Mac.

With respect to the 12 months ending in January, house prices fell 0.8 percent, signaling that housing market was struggling to recover as foreclosures weigh down values.

Economists said the foreclosures and other distressed properties were still a key factor to curb the recovery of house prices in the future.

In addition, the previously reported 0.7 percent increase in December was revised downward to reflect a 0.1 percent increase.

The report measured changes in real estate values using purchases of properties with mortgages back by Fannie Mae or Freddie Mac.