Even in the slowest sales month of the year, we’re continuing to see a steady march towards a full price recovery.
Norfolk, Virginia (PRWEB) March 30, 2015
Homes.com®, leading online real estate destination, has released its January Local Market Index, a price performance summary of repeat sales in the top 100 markets, and the companion Midsize Markets Report for defined areas ranked 101-300. Among the nation’s top 100 largest markets, all markets increased their 3-month average index point change in January, up six markets from December 2014. The Midsize Markets also posted gains for the 3-month average in 199 of 200 markets.
40 percent of Top 300 Markets Fully Recovered
In January, the top 100 and the Midsize Markets 200, which represent the largest 300 markets by population in the United States, reported that a total of 120 markets, or 40 percent of the top 300, have now achieved full pricing recovery. Compared to January 2014, only 89 markets, or 31 percent, had reached a complete rebound, up 35 percent year over year.
Of the top 100 markets, those with a peak-to-trough decline of less than 10 percent had an average rebound of 107 percent. Moderate price decline markets, those with a 10-20 percent decrease in value, are seeing the average rebound percentage reach 99 percent of the prior peak price. Severe price decline markets, those with price declines exceeding 20 percent, are seeing an average rebound of 81 percent.
In January, 42 of the top 100 markets measured continue to show complete price recovery, which is the same amount reported in December. Youngstown-Warren-OH/ Boardman, OH-PA and Columbus, OH are two markets close to rebounding at 99.54 percent and 99.31 percent, respectively.
Additionally, 78 Midsize Markets are now more than 100 percent recovered, a gain of three from December’s report. Decatur, AL; Macon, GA and Huntsville, AL are the new Midsize Markets to rebound and posted rebound percentages of 100.46 percent, 100.29 percent and 100.17 percent.
The South continues to dominate recovery with 22 markets seeing rebound percentages greater than 100 percent. The West came in at second place, seeing eight markets with over 100 percent rebound. The Midwest and Northeast are tied at six markets with a rebound percentage above 100 percent.
“Even in the slowest sales month of the year, we’re continuing to see a steady march towards a full price recovery. The halfway point—50 percent of the top 300 markets—is in now in sight. In a matter of months, we hope to see more than half the nation in rebound status. Even more importantly, we will see equity restored to millions of homeowners, making it possible for them to refinance or sell,” said David Mele, president of Homes.com.
Western Markets Take the Lead in Top Ten
On a monthly basis, the five top performing markets were located in the West, all in the state of California. The top performing market is San Francisco-Oakland-Hayward, CA. Four markets are located in the South in the states of Mississippi, Florida, Georgia and South Carolina. The remaining market is located in the Midwest in the state of Ohio. The 3-month average percentage for the top 10 markets ranges from 0.87 percent to 1.01 percent, higher than the 0.67 percent to 0.89 percent seen in December’s data. The 3-month average percentage change for all top 100 markets continues to grow at 0.6 percent, which is more than the 0.39 percent recorded in December.
Largest Markets Summary:
San Francisco-Oakland-Hayward, CA led the West and the nation with an average 3-month appreciation of 1.01 percent.
Allentown-Bethlehem-Easton, PA-NJ led the Northeast with an average appreciation of 0.43 percent over three months.
Toledo, OH reported an average 3-month gain of 0.92 percent and led the Midwest.
Leading the South, Jackson, MS saw an average 3-month appreciation of 0.99 percent.
Hartford-West Hartford-East Hartford, CT trailed the nation with an average 3-month appreciation of only 0.04 percent,
Midsize Markets Summary
The market with the best 3-month average was Kennewick-Richland, WA which increased 1.38 percent with all top 10 Midsize markets over a 3-month average seeing increases of more than 1%. Similar to the top 100 markets, all top 10 markets for the 3-month average are located in the South, West and Midwest regions. Four markets are from the South, specifically in the South Atlantic region. Four markets are from the West, located in the Pacific region and two markets are from the Midwest, located in Wisconsin. For January, the 3-month average percentage ranged from 1.01 percent to 1.38 percent, significantly higher than 0.89 percent to 1.02 percent in last month’s report.
The West also dominates with year over year increases in seven out of the top 10 markets. The remaining markets come from the Midwest and South. Rapid City, SD is again the top annual market with a 9.4 percent index point increase. In January, the annual percent range is between 6 percent and 9 percent, which is similar to December’s data.
In January’s Local Market Report, 199 midsize markets increased over a 3-month average, up four markets from last month. Bangor, ME is the only midsize market to decrease over a 3-month average and is located in the Northeast. Some 199 markets increased annually while Wheeling, WV-OH continues to be the only market to decrease.
Midsize Market by Region and Division:
The top performing Midsize Market for the 3-month average is Kennewick-Richland, WA, which is located in the West.
The bottom performing Midsize Market for the 3-month average is Bangor, ME, which is located in the Northeast and was the only market to see a decrease of the bottom performing markets.
Billings, MT reported the largest 3-month average change from the bottom performing markets.
To receive a comprehensive data file, including index values in every zip code within a local market, contact LocalMarketReports@Homes.com. To download a copy of reports, visit press.homes.com.
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