Median Home Prices Reach A High

ATTOM Data Solutions (the new parent company of RealtyTrac) released its June and Q2 2016 U.S. Home Sales Report, which shows that single family homes and condos sold for a median price of $231,000 in June 2016, up 6 percent from the previous month and up 9 percent from a year ago to a new all-time high — 1 percent above the previous peak of $228,000 in July 2005.

June was the 52nd consecutive month were U.S. median home prices increased on a year-over-year basis.

The ATTOM Data Solutions home sales report is based on publicly recorded sales deeds collected and licensed by ATTOM Data Solutions in more than 900 counties nationwide accounting for more than 80 percent of the U.S. population.

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30 percent of local metro markets reach new all-time price peak in June

Out of 130 metropolitan statistical areas analyzed for the report, 39 (30 percent) reached new all-time home price peaks in June, including Dallas ($240,156), Atlanta ($192,000), Seattle ($385,000), Minneapolis ($235,950), and St. Louis ($190,209).

“Home prices in the greater Seattle area continue to appreciate above average rates. This is clearly an indication of not only continued faith in the housing market, but also the buoyancy of the regional economy,” said Matthew Gardner, chief economist at Windermere Real Estate, covering the Seattle market. “However, this appreciation comes at a cost.  Housing affordability in the region is getting tested — specifically in the market areas that are within easy reach of the major employment centers. This is having particularly negative effects on first-time buyers who are getting priced out of the market. Unless we see a rapid increase in the number of homes for sale, this significant demographic will continue to be left behind.”

Since the nation’s home prices bottomed out in 2012, a total of 63 of the 130 markets analyzed (48 percent) have reached new all-time home price peaks.

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“The all-time home price highs nationwide an in many local markets are being enabled by historically low mortgage rates — which are falling once again this year,” said Daren Blomquist, senior vice president at ATTOM Data Solutions (formerly RealtyTrac). “It is likely that some of the most interest rate sensitive local markets will see home price appreciation knocked down when the low rate rug is finally pulled out from under the housing recovery. We are seeing signs of weakening appreciation in many bellwether markets already in spite of the rock-bottom rates.”

Markets with strongest home price appreciation in June

Metro areas with the biggest year-over-year increase in median home price in June were Salisbury, Maryland (up 22 percent), Pensacola, Florida (up 21 percent), Tampa, Florida (up 20 percent), St. Louis (up 19 percent), Boulder, Colorado (up 19 percent), and Flint, Michigan (up 18 percent).

Along with Tampa and St. Louis, major metro areas with a population of at least 1 million where median home sales prices increased at least 10 percent from a year ago in June 2016 included Orlando (up 13 percent), Phoenix (up 12 percent), Austin, Texas (up 12 percent), Portland, Oregon (up 12 percent), Denver (up 11 percent), and Virginia Beach-Norfolk-Newport News, Virginia (up 10 percent).

There were 16 metro areas among the 130 analyzed (12 percent) where median home prices declined from a year ago in June, including Bridgeport, Connecticut (down 6 percent), Allentown, Pennsylvania (down 4 percent), Columbus, Ohio (down 3 percent), Houston (down 2 percent), and Milwaukee (down 1 percent).

June 2016 home sellers realize highest average price gain since September 2007

Home sellers in June 2016 sold for an average of $41,000 more than they purchased for, a 22 percent gain in price on average — the highest average price gain for home sellers since September 2007.

Metro areas with the highest average price gains for home sellers in June were San Francisco (72 percent), San Jose (66 percent), Fort Collins, Colorado (59 percent), Salinas, California (53 percent), and Santa Rosa, California (52 percent).

Other major markets with a population of at least 1 million where the average price gain for home sellers in June was at least 40 percent included Denver (50 percent), Los Angeles (49 percent), Portland (49 percent), Seattle (48 percent), and San Diego (40 percent)

Pace of home price appreciation slowing in 54 percent of county housing markets

Annual home price appreciation in June 2016 slowed compared to a year ago in 189 counties out of 349 counties (54 percent) analyzed for the report.

Counties with decelerating appreciation in June 2016 compared to a year ago included Los Angeles County, California; Harris County (Houston), Texas; Maricopa County (Phoenix), Arizona; San Diego County, California; Orange County, California; Miami-Dade County, Florida; Dallas County, Texas; and Queens County, New York.

Counties with accelerating appreciation in June 2016 compared to a year ago included Kings County (Brooklyn), New York; Riverside County, California; King County (Seattle), Washington; Sacramento County, California; Hillsborough County (Tampa), Florida; Hennepin County (Minneapolis), Minnesota; and Travis County (Austin), Texas.

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