U.S. Home Values See Largest Monthly Rise in Six Years – NMP Skip to main content

U.S. Home Values See Largest Monthly Rise in Six Years

NationalMortgageProfessional.com
Apr 25, 2012

Home values nationwide have increased, rising 0.5 percent from February to March, according to Zillow's first quarter Real Estate Market Report. This marks the largest monthly increase in the Zillow Home Value Index (ZHVI) since May 2006, when home values also rose 0.5 percent. The ZHVI fell 3.1 percent year-over-year to $146,200. Nineteen of the 30 metro areas covered by the Zillow Home Value Forecast will reach a bottom in 2012, or have already reached a bottom. Several of those are expected to see significant home value increases in the next 12 months, including the Phoenix (6.5 percent), Miami-Ft. Lauderdale (5.6 percent) and Tampa (2.5 percent) metros, according to the forecast. Twelve of the markets covered by the Zillow Home Value Forecast will experience home value declines in the next 12 months, although some of those are likely to reach a bottom in late 2012. Some metros, however, are anticipated to experience significant home value declines in the next 12 months, including the Atlanta metro, with home values falling 4.1 percent, and the Chicago metro, where values are expected to decline 3.8 percent. "For people who have been waiting to time their home purchase close to market bottom, it's time to start shopping," said Zillow Chief Economist Dr. Stan Humphries. "When the bottom will hit will vary by market, and it's nearly impossible to time a purchase exactly right. But home prices are not the only part of the equation. Buyers also should take into account the possibility that rising mortgage rates could offset any further home value declines that may occur." Nationally, the Zillow Home Value Forecast shows that home values will fall 0.4 percent over the next 12 months, with many months showing no change or slight appreciation late this year, suggesting that U.S. home values could reach a bottom in late 2012. "From an economic perspective, the latter part of the first quarter is full of positive news as the spring selling season gets underway. While it is unlikely that national home values continue to rise at this rate through the rest of the spring and summer, it is undeniable that we are seeing sparks of life in the housing market." In Q1 of 2012, the rate of homes foreclosed fell to 2009 levels, with 7.4 out of every 10,000 homes foreclosed, which is significantly down from 8.3 out of every 10,000 homes foreclosed in February. "March's lower foreclosure rate does not show signs of the expected increase after the multi-state attorneys general settlement in February," Dr. Humphries said. "But we should take this news with a grain of salt, as there still exists the possibility for foreclosures to increase again." Foreclosure re-sales did rise to a new high, with 20.5 percent of all sales in March being foreclosure re-sales.
Published
Apr 25, 2012
Open Mortgage Names New President

Joe Stephenson, formerly of American Advisors Group, to lead daily operations.

Industry News
Dec 01, 2021
Homepoint Expands Refinance Program Offerings

Now offers Freddie Mac’s new refinance option, Refi Possible, making it easier for many homeowners with a Freddie Mac-owned mortgage to reduce their interest rate.

Industry News
Nov 30, 2021
Non-QM Lender Deephaven Hires Business Development VP

Dallas-based Tim Fisher charged with growing Deephaven’s correspondent business In Texas and surrounding states

Industry News
Nov 30, 2021
Biden Reappoints Powell As Federal Reserve Chairman

A signal that The Fed will continue its policies as inflation surges and economic uncertainty spikes due to an emerging variant of the coronavirus. 

Industry News
Nov 29, 2021
Servion Taps Sagent For Consumer-First Servicing Tech Stack

A 7-year deal between Servion Mortgage and Sagent will equip Servion with Sagent's tech stack for performing, non-performing, and consumer experience.

Tech
Nov 29, 2021
Guaranteed Rate's Banosian Funds $2B In Total Loan Volume

The mortgage industry shouldn't be surprised by Guaranteed Rate's top loan officer, Shant Banosian, funding $2 billion in total loan volume during a record-breaking year. After all, “The Billion Dollar Man” is one of the top 5 loan originators in the U.S.

Wholesale
Nov 29, 2021