U.S home prices continued their upward climb in April, with CoreLogic reporting a 2.7 percent monthly advance, moving the year-on-year gain up to 6.8 percent. This forward motion represents 38 months of consecutive year-over-year increases in home prices. While spring is typically the setting for a strong market, the data provider speculates that low inventories and growing sales may be the culprit of rocketing prices.
“Old-fashion supply and demand, fueled by historically low mortgage rates and improving consumer finances and confidence, continue to push home prices up,” says CoreLogic CEO and president Anand Nallathambi.
Including distressed sales, 30 states plus the District of Columbia were at or within 10 percent of their peak prices in April. Included among these states are Colorado, Alaska, Wyoming, Tennessee, Texas, Nebraska and New York.
“The Tampa Bay market is experiencing moderate appreciation compared to most metropolitan areas of the US, due to the continuing large supply of REO properties, which account for over 20 percent of the overall market,” says Dewey Mitchell, Broker/Owner of Berkshire Hathaway HomeServices Florida Properties Group in Trinity, Fla. “However, selected markets such as the urban cores of Tampa and St. Petersburg; South Tampa; North East St.Pete; and the beaches, are extremely hot. All are at pre-recession levels with very low supplies.”
CoreLogic is the first to report April results, with Case-Shiller and the FHFA both reporting strong March gains.
For more information, visit www.corelogic.com.