Home values are predicted to rise this year in Seattle, but not in wealthy neighborhoods like Medina and Mercer Island, says Zillow.
The company instead believes that the South Delridge area, where home values are expected to appreciate 7.7 percent, holds the most promise. The median home value in South Delridge is currently $367,300, and home values in the area have gone up 16.7 percent over the past year.
South Seattle neighborhoods Jackson Place, Rainier Beach and Brighton, as well as Northwest Bellevue on the Eastside, also made the fastest-appreciating list. Home values in those places are anticipated to rise between 7.1 and 7.3 percent, reports the Puget Sound Business Journal.
Nationally, Nashville is expected to be the hottest housing market this year due to its blossoming healthcare industry, which has boosted income growth for its residents. Seattle and other western US cities are also expected be hot housing markets — Portland, Seattle and Denver should continue to outperform the average national home value growth in 2017. Zillow expects to see home values appreciate 3 percent nationwide next year.
Zillow devises its “hotness” score using three variables scaled for the 100 largest US markets: the company’s Home Value Forecast, recent income growth and current unemployment rates.