WASHINGTON–Home prices climbed in 87% of U.S. metropolitan areas in the first quarter as buyers competed for a tight supply of listings, according to new analysis from the National Association of Realtors.
The NAR said the median price of an existing single-family home rose from a year earlier in 154 of the 178 markets measured.
"Home prices have been climbing as job growth helps fuel demand for a limited inventory of properties for sale. There were 1.98 million previously owned homes for sale at the end of March, down 1.5% from a year earlier,” according to the NAR.
The jump in values has made it difficult for many first-time buyers to compete in the most heated areas, noted Lawrence Yun, the NAR’s chief economist.
“The solid run of sustained job creation and attractive mortgage rates below 4% spurred steady demand for home purchases in many local markets,” Yun said in the report. “Unfortunately, sales were somewhat subdued by supply and demand imbalances and broadly rising prices above wage growth.”
Separately, Housing continued a strong expansion period this year, with one region in particular boasting the most startling rebound figures, according to a report from Clear Capital. That company’s analysis found that national housing growth achieved 0.6% growth quarter-over-quarter. The real-estate data and solutions provider reported the figures in its latest Home Data Index Market Report.
According to the Home Data Index Market Report, regionally, the West set the pace for housing growth, with a busy season contributing to 0.3% rise since April that brought growth figures to 1.2%, up from 0.9%.
Indeed, of the 15 current best housing markets, nine are based out west. Seattle bested any single market with a 2% growth by quarter, reflecting a 0.2% growth over the last quarter.
Similarly, housing market values in Portland, San Jose and Denver peaked at their highest levels since the Great Recession. Clear Capital reported that Las Vegas achieved just more than half of the housing growth its markets last saw a decade ago.
In the Northeast and Midwest, quarterly growth rates inched along at just 0.2%.