Last month’s round of Homes.com Local Market reports indicated that October wasn’t quite the standout for market activity. This may have left you feeling a little weary about the recovery of home prices, but November’s report tells a much more impressive story!
Looking at the nation as a whole, there are now a total of 111 (36%) U.S. housing markets achieving a full recovery. This is great news because a third of both the large and small markets measured in these reports have now reached a complete price recovery from the housing bust. The most recent data has also confirmed that the markets least affected by the Great Recession are currently seeing the most significant rebound activity. Let’s take a closer look at the Top 100 and mid-sized markets:
Top 100 Markets
Forty of the Top 100 markets witnessed a complete price recovery during November, up one market from October’s report. Provo-Orem, UT was the sole market to be added to the fully recovered list this month, posting a rebound percentage of 100.21%! Monthly percentage gains ranged from a low of 0.27% to a high of 0.61% during November, with Boise City, ID reeling in the highest gain.
Ninety-three of these top metro areas increased their three-month average index point change, which is exciting news, considering it’s a thirty-five market jump from what was reported in October! The seven markets that were unable to increase over this three-month period were found throughout the Northeast, or, more specifically, in the New England area. Check out the full report to see if one of these seven is near you.
Year-over-year gains in November ranged from a low of 5.11% to a high of 6.50% and are pretty consistent with the data from the month before. There was a drastic change when comparing annual average price gains for the Top 100 markets. The average year-over-year change was 3.77% in 2014, while it was a whopping 8.86% during the same period in 2013. However, it’s important to note that November of 2013 was the peak of year-over-year annual change and it has been falling ever since.
Top Midsize Markets
The total number of Midsize markets to exceed a complete price recovery remained at 71 throughout November, going unchanged from October. However it was a big month for the Top and Midsized markets on a three-month average basis, as 177 of these smaller markets also reported gains in November, up an astonishing 44 from the month before!
Rapid City, SD has something to brag about, as they claimed the top annual and three-month average performance, with respective gains of 8.79% and 1.82%. When comparing price appreciation for November on an annual basis, the story for the Midsize markets is similar to that of their larger counterparts. The average price appreciation for these markets decreased by 53% in just one year, with November 2014 coming in with a rate of 3.97% compared to 2013’s rate of 8.38%. Again, it’s important to remember that November of 2013 was the peak for year-over-year annual change.
Seven of the ten top three-month average markets resided in the Midwest, while two were from the West and one was from the South. The Midwest showed its colors during November, as it also dominated on an annual basis by claiming six of the top ten performing markets. The remaining of the top annual performers were found in the South and West.
This month’s data has made one thing clear, which is that both smaller and larger markets are rebounding at virtually the same pace. With more and more markets seeing significant improvements in their three-month running average, it could be a good indication that we will continue the price recoveries across the nation. Be sure to check out the full report from November to see how your market stacks up against the rest!