Press releases
Home Values Rise at Fastest Pace Since 2006
The median home value in the U.S. is now $192,500, according to Zillow's November Real Estate Market Report, just 2 percent shy of 2007 peak.
- Home values rose 6.5 percent over the past year to a Zillow Home Value Index (ZHVI) of $192,500 in November.
- Home values appreciated at their fastest annual pace since August 2006, near the peak of the housing bubble.
- Rents rose 1.5 percent over the past year to a Zillow Rent Index (ZRI) of $1,403 per month.
Dec 22, 2016
SEATTLE, Dec. 22, 2016 /PRNewswire/ -- In November, national home values rose at their fastest annual pace since 2006, near the peak of the housing bubble. The Zillow® Home Value Indexi (ZHVI) is $192,500, 2 percent shy of the records set in 2007, according to the November Zillow Real Estate Market Reportsii.
Rents, which were the big story of 2016 as they rose at a record pace, have slowed considerably to a 1.5 percent annual appreciation rate; this rate is expected to continue into 2017. The median monthly rent payment in the U.S. is now $1,403.
Home values were 6.5 percent higher this November than last. Strong growth is especially evident in a handful of new powerhouse markets, including Seattle, Denver, Portland and Dallas, whose strong job markets attracted new home buyers over the last year.
At their fastest pace, home values across the country were appreciating about 11 percent year-over-year. When the bubble burst, home values plummeted, falling 7.4 percent year-over-year during the depths of the crisis, and then began a steady recovery in 2012.
"Home value growth continues to be strong, supported by solid buyer demand and still limited for-sale inventory in many markets across the country," said Zillow Chief Economist Dr. Svenja Gudell. "Conditions today are very different than the ones we saw back in 2006, which was the last time we saw home values rising this fast. Rampant real estate speculation and loose mortgage credit have been replaced by the sound economic fundamentals we are seeing now."
Portland, Seattle and Dallas reported the highest year-over-year home value appreciation among the 35 largest U.S. metros. Portland home values rose 14 percent to a median value of $351,800. Both Seattle and Dallas home values rose 12 percent since last November.
Seattle reported the fastest rent appreciation of the 35 largest U.S. metros for the sixth month in a row, up almost 9 percent annually. Portland and Sacramento follow Seattle, with rents up about 7 percent.
Inventory still remains an issue for home buyers across the country. There are 6 percent fewer homes to choose from than a year ago, with Boston, Indianapolis and Kansas City reporting the greatest drop. In Boston, there are 26 percent fewer homes to choose from than a year ago, and 21 percent fewer in Indianapolis and Kansas City.
|
Metropolitan |
Zillow |
Year-over- |
Zillow Rent |
Year-over- |
Year-over-Year |
|
United States |
$ 192,500 |
6.5% |
$ 1,403 |
1.5% |
-5.9% |
|
New York, NY |
$ 400,500 |
6.0% |
$ 2,389 |
0.5% |
-10.4% |
|
Los Angeles-Long Beach-Anaheim, CA |
$ 590,000 |
6.3% |
$ 2,616 |
5.2% |
-7.1% |
|
Chicago, IL |
$ 203,400 |
5.0% |
$ 1,637 |
-0.1% |
-10.2% |
|
Dallas-Fort Worth, TX |
$ 200,400 |
12.0% |
$ 1,556 |
4.0% |
-13.9% |
|
Philadelphia, PA |
$ 213,800 |
4.1% |
$ 1,574 |
1.0% |
-12.3% |
|
Houston, TX |
$ 176,000 |
7.0% |
$ 1,562 |
-1.1% |
0.6% |
|
Washington, DC |
$ 378,000 |
2.9% |
$ 2,123 |
0.6% |
-18.8% |
|
Miami-Fort Lauderdale, FL |
$ 245,200 |
8.8% |
$ 1,879 |
3.1% |
11.8% |
|
Atlanta, GA |
$ 172,300 |
7.5% |
$ 1,329 |
4.3% |
-5.7% |
|
Boston, MA |
$ 408,400 |
6.1% |
$ 2,322 |
3.5% |
-25.5% |
|
San Francisco, CA |
$ 824,600 |
4.9% |
$ 3,385 |
1.8% |
-5.0% |
|
Detroit, MI |
$ 134,400 |
9.4% |
$ 1,169 |
3.2% |
-17.2% |
|
Riverside, CA |
$ 318,200 |
6.7% |
$ 1,742 |
3.1% |
-8.1% |
|
Phoenix, AZ |
$ 228,900 |
6.9% |
$ 1,301 |
4.1% |
-1.4% |
|
Seattle, WA |
$ 412,600 |
12.2% |
$ 2,095 |
8.8% |
-6.5% |
|
Minneapolis-St Paul, MN |
$ 235,000 |
6.6% |
$ 1,552 |
3.3% |
-18.2% |
|
San Diego, CA |
$ 526,500 |
6.1% |
$ 2,436 |
5.2% |
2.8% |
|
St. Louis, MO |
$ 147,800 |
6.8% |
$ 1,123 |
0.1% |
-14.5% |
|
Tampa, FL |
$ 177,200 |
11.2% |
$ 1,336 |
3.2% |
-10.7% |
|
Baltimore, MD |
$ 256,600 |
3.6% |
$ 1,729 |
0.7% |
-16.0% |
|
Denver, CO |
$ 352,800 |
9.7% |
$ 2,006 |
2.8% |
4.0% |
|
Pittsburgh, PA |
$ 133,400 |
4.8% |
$ 1,081 |
-1.4% |
0.3% |
|
Portland, OR |
$ 351,800 |
14.1% |
$ 1,802 |
7.1% |
-3.6% |
|
Charlotte, NC |
$ 166,600 |
7.1% |
$ 1,244 |
1.8% |
-10.4% |
|
Sacramento, CA |
$ 350,200 |
7.5% |
$ 1,707 |
6.8% |
-6.3% |
|
San Antonio, TX |
$ 156,200 |
6.5% |
$ 1,324 |
1.6% |
12.8% |
|
Orlando, FL |
$ 198,100 |
9.9% |
$ 1,383 |
3.1% |
-11.1% |
|
Cincinnati, OH |
$ 147,800 |
5.6% |
$ 1,243 |
1.5% |
-16.3% |
|
Cleveland, OH |
$ 130,600 |
5.2% |
$ 1,145 |
1.6% |
-10.8% |
|
Kansas City, MO |
$ 151,900 |
5.9% |
$ 1,241 |
3.8% |
-20.5% |
|
Las Vegas, NV |
$ 213,700 |
9.6% |
$ 1,243 |
2.4% |
26.0% |
|
Columbus, OH |
$ 160,400 |
3.9% |
$ 1,293 |
1.7% |
-18.9% |
|
Indianapolis, IN |
$ 133,600 |
1.5% |
$ 1,188 |
0.3% |
-20.7% |
|
San Jose, CA |
$ 961,600 |
4.3% |
$ 3,486 |
1.9% |
-14.4% |
|
Austin, TX |
$ 259,800 |
8.4% |
$ 1,701 |
0.9% |
11.9% |
Zillow
Zillow® is the leading real estate and rental marketplace dedicated to empowering consumers with data, inspiration and knowledge around the place they call home, and connecting them with the best local professionals who can help. In addition, Zillow operates an industry-leading economics and analytics bureau led by Zillow's Chief Economist Dr. Svenja Gudell. Dr. Gudell and her team of economists and data analysts produce extensive housing data and research covering more than 450 markets at Zillow Real Estate Research. Zillow also sponsors the quarterly Zillow Home Price Expectations Survey, which asks more than 100 leading economists, real estate experts and investment and market strategists to predict the path of the Zillow Home Value Index over the next five years. Zillow also sponsors the bi-annual Zillow Housing Confidence Index (ZHCI) which measures consumer confidence in local housing markets, both currently and over time. Launched in 2006, Zillow is owned and operated by Zillow Group (NASDAQ:Z and ZG), and headquartered in Seattle.
Zillow and Zestimate are registered trademarks of Zillow, Inc.
|
i The Zillow Home Value Index (ZHVI) is the median estimated home value for a given geographic area on a given day and includes the value of all single-family residences, condominiums and cooperatives, regardless of whether they sold within a given period. It is expressed in dollars, and seasonally adjusted. | ||
|
ii The Zillow Real Estate Market Reports are a monthly overview of the national and local real estate markets. The reports are compiled by Zillow Real Estate Research. For more information, visit www.zillow.com/research/. The data in Zillow's Real Estate Market Reports are aggregated from public sources by a number of data providers for 928 metropolitan and micropolitan areas dating back to 1996. Mortgage and home loan data are typically recorded in each county and publicly available through a county recorder's office. All current monthly data at the national, state, metro, city, ZIP code and neighborhood level can be accessed at www.zillow.com/local-info/ and www.zillow.com/research/data. | ||
SOURCE Zillow
For further information: Jordyn Lee, Zillow, press@zillow.com