Home prices have been stuck in a pattern that's suggestive of an ever improving real estate market - they keep on rising.
According to the latest numbers released by property analytics firm CoreLogic, for the month of March, home prices nationwide jumped by more than 10 percent on a year-over-year basis. Not only is this the biggest yearly rise in home prices in six years, but it also marks the 13th straight occasion in which home prices have edged northward from the preceding month.
Including distressed sales, some of the most significant home price gains were evident in the West, as noted by Anand Nallathambi, CoreLogic chief economist.
"Home prices continue to rise at a double-digit rate in March led by strong gains in the western region of the U.S.," said Nallathambi.
More specifically, the states that saw the most significant growth in home price appreciation were Nevada at 22 percent, California at 17 percent, Arizona at 16 percent, along with Idaho and Oregon tied at 14 percent. Nallathambi added that these double-digit price rises are evidence that homeownership demand is extremely robust, as inventory supply levels have shrunk as a result.
Only four states witnessed depreciating prices
There were, however, a handful of states where average home values diminished. In Delaware, home prices depreciated by 4 percent, by 3 percent in Alabama, by just under 2 percent in Illinois and by three tenths of a percent in West Virginia.
Mark Fleming, chief economist for the Irvine, California-based real estate services provider, indicated that what's especially heartening about March's numbers is that home values rose when including and excluding distressed property sales. That has happened in seven years, which real estate experts remember as one of the best times in recent history for the housing market.
The continuous and steady rise in home prices is a solid indication both for homeowners and sellers that the housing comeback is for real, providing both parties with the confidence they need to close a deal. But sellers would be well-advised to have a pre-listing home inspection done before they put their homes up for sale.
Inspectors' results will provide sellers with the information they need to know to improve their property, if need be, which will give buyers that much more confidence that what their purchasing is a sound investment.