Wondering what home prices looked like at the start of the New Year? The most recent Homes.com Local Market Reports have arrived and you’re going to like what they have to say. It’s official ‒ 40% of all U.S. markets have reclaimed their peak home prices prior to the recession! Now that we have that out of the way, let’s take a closer look at activity during January 2015 in the Top 100 and Top Midsize markets measured in this report.
Top 100 Markets
Although the number of markets to reach a full price recovery went unchanged from December, there are two more just within arms reach. These markets include Youngstown-Warren-Boardman, OH-PA and Columbus, OH, with respective rebound rates of 99.54% and 99.31%.
All markets reported increases on a three-month average basis, up six markets from December’s report. While this shows a positive trend, the Northeast reported gains that were far less than others. January’s monthly percentage gains ranged from a low of 0.04% to a high of 1.01%, with San Francisco, CA taking the top spot and Jackson, MS coming in a close second with a gain of 0.99%.
Average annual percentage gains for the top 10 markets was around 6%, and there has yet to be a market that’s been able to top that. The Top 100 markets reported an annual average of 4.28%. Although this was significantly lower than the 8.33% year-over-year change seen during January of 2014, it’s a good sign that the market is beginning to normalize since we are starting to see more sustainable rates of growth in the market as a whole.
Top Midsize Markets
Up three from our last report, 78 markets reported complete recoveries or more during January of 2015. Decatur, AL, Macon, GA and Huntsville, AL were the new markets to be added to the list, with respective rebound gains of of 100.46%, 100.29% and 100.17%.
Up four markets from December, 199 of the top ranked midsize markets reported three-month average gains. The midsize markets posted a close performance to the top 100 markets on this basis, with Bangor, ME being the only market to report a decrease, which was only a mere 0.07% price drop. On the other hand, Kennewick, WA topped the charts here with an increase of 1.38%. As a final note, all markets in the top 10 list were from the South, West and Midwest regions on this three-month average basis.
Taking a look at annual percentage rates, Rapid City, SD took the top spot for the second month in a row with a 9.40% gain. The average annual price appreciation for all of these markets for January 2015 was 4.58%, slightly down from last year’s rate of 7.89%, but once again showing more sustainable rates of growth. As a final note, the West was a force to be reckoned with on this annual basis, as it was home to a total of seven markets with the highest rates of growth.
Be sure to take a look at the full January report for more details. Also, keep in mind that between home prices continuing to rise on a monthly basis and the busy summer season right around the corner, it wouldn’t be a bad idea to start ramping up your marketing efforts. More and more buyers will be coming to the market before you know it, so download the new “Talkin’ About Lead Generation” eBook if you’re looking for some quick tips on how to connect with members of your community.