Photo: Steven Martin/Flickr
Among the 175 metro markets studied by the National Association of Realtors (NAR), 86 percent saw a year-over-year increase in the median price of a single family home. That outpaces the increase seen in Q3-2014, where 73 percent recorded a boost in prices.
“Home prices in metro areas throughout the country continue to show solid price growth, up 25 percent over the past three years on average,” said Lawrence Yun, NAR chief economist.
“This is good news for current homeowners but remains a challenge for buyers who are seeing home prices continue to outpace their wages. Low interest rates helped preserve affordability last quarter, but it’ll take stronger income gains and more housing supply to help meet the pent-up demand for buying.”
Across the country, the median sales price for an existing single-family home in the fourth quarter of 2014 rose 6 percent to $208,700, compared to the same time in 2013.
The biggest year-over-year price increase was seen in the metropolitan market of Sherman-Denison, Texas: the median price rose 21.1 per cent. The priciest cities in the country remain on the West Coast, with San Jose-Sunnyvale-Santa Clara in California seeing a 10.3 per cent jump in Q4 to the median price of $855,000. That makes the market the costliest countrywide, though San Francisco-Oakland-Fremont isn’t too far behind. Its median price also counted double-digit growth, rising 10.1 percent $742,900.
Here’s a look at the metro areas, sorted by largest to smallest price increases:
The biggest boosts were seen in the Tallahassee, Florida (20.1 percent) and Reno-Sparks, Nevada (19.5 percent). Once again, the priciest properties could be found in California. San Francisco-Oakland-Fremont measured a 9.4 percent increase in the fourth quarter that brought the median price of a condo up to $585,000. It was followed by Los Angeles-Long Beach-Santa Ana, with a year-over-year jump of 4.8 percent to $380,200.
For more details, check out the table below: