Signs of a true recovery are finally emerging in the U.S. property market as average prices for homes across the nation inch up for the third month in a row when excluding the sales of distressed properties. The CoreLogic House Price Index indicates a year-on-year increase as well when factoring out distressed properties. The upward shift is marginal, but homes in competitive markets have seen a noticeable increase. Excluding distressed home sales, the states experiencing the largest increases in value include Idaho (5.4%), North Dakota (5.1%) and South Carolina (4.7%). For more on this continue reading the following article from Property Wire.
National home prices in the United States, including distressed sales, declined on a year on year basis by just 0.6% in March compared to the same period in 2011, according to the latest date from CoreLogic.
On a month to month basis prices increased by 0.6% compared to February, the first monthly increase since July 2011. Both figures indicate the market is poised for a recovery, experts believe.
Excluding distressed sales, month on month prices increased for the third month in a row. The CoreLogic House Price Index also shows that year on year prices, excluding distressed sales, rose by 0.9% in March 2012 compared to March 2011. Distressed sales include short sales and real estate owned (REO) transactions.
‘This spring the housing market is responding to an improving balance between real estate supply and demand which is causing stabilization in house prices,’ said Mark Fleming, chief economist for CoreLogic.
‘Although this has been the case in each of the last two years, the difference this year is that stabilisation is occurring without the support of tax credits and in spite of a declining share of REO sales,’ he explained.
While housing prices remain flat nationally, in many markets tighter inventories are beginning to lift home prices, according to Anand Nallathambi, president and chief executive officer of CoreLogic.
‘This is true in Phoenix, New York and Washington, for example, which all reflect higher home price values than a year ago. A continuation of this trend will be good for our industry across the US markets,’ Nallathambi added.
Including distressed sales, the five states with the highest increase were Wyoming up 5.9%, West Virginia up 5.3%, Arizona up 5.1%, North Dakota up 4.7% and Florida up 4.5%.
Including distressed sales, the five states with the greatest depreciation were Delaware down 10.6%, Illinois down 8.3%, Alabama down 8%, Georgia down 7.3% and Nevada down 5.8%.
Excluding distressed sales, the five states with the highest appreciation were Idaho up 5.4%, North Dakota up 5.1%, South Carolina up 4.7%, Montana up 3.5% and Kansas up 3.4%.
Excluding distressed sales, the five states with the greatest depreciation were Delaware down 7.6%, Alabama down 4.1%, Nevada and Vermont both down 3.9% and Rhode Island down 2.9%.
This article was republished with permission from Property Wire.