The median home value in the U.S. reached $198,000 in April, which is one percent higher than peak value hit in 2007 during the height of the housing bubble, according to new data from Zillow
Home values in April rose 7.3 percent on a year-over-year basis, the strongest rate of appreciation in more than 10 years. Among the 32 largest metro markets, 10 markets saw their median home value exceed prior bubble peaks more than a year ago, while 17 have yet to regain peak value.
Also on the rise was median rent, up 0.7 percent since last April, to a median payment of $1,412 per month.
"Now that the typical U.S. home is worth more than ever, people may be tempted to ask if we're in another national housing bubble," said Zillow Chief Economist Svenja Gudell. "We aren't in a bubble, and won't be entering one anytime soon. There are big differences between the market then and the market now: Then, loose credit, speculation and overbuilding were ingredients in a recipe for disaster. Now, healthy home buyer demand is being driven largely by a stable economy and demographic tailwinds, which is exactly what we would expect in a healthy market.”