Home prices nationwide continued their steady march upward in November, with a 7% year-over-year increase according to real estate research firm CoreLogic.
Prices rose 1% between October and November, the Irvine, Calif.-based CoreLogic reported, amid persistently limited supply and steady demand from homebuyers — two metrics that don’t currently show signs of slowing down.
“Without a significant surge in new building and affordable housing stock, the relatively high level of growth in home prices of recent years will continue in most markets,” CoreLogic president and CEO Frank Martell said in a report announcing the most recent results.
“Although policymakers are increasingly looking for ways to address the lack of affordable housing, much more needs to be done soon to see a significant improvement over the medium term,” Martell said.
CoreLogic economists forecast a 4.2% increase in home prices by the end of November 2018.
The usual suspects topped CoreLogic’s list of top metro areas by home-price gains over the trailing 12 months, with Las Vegas seeing a 11.1% spike in the company’s Home Price Index. San Francisco, Denver, San Diego, and Los Angeles rounded out the top five. Western states have routinely seen increases in the levels of home prices and equity over the past year.
“Rising home prices are good news for home sellers, but add to the challenges that home buyers face,” CoreLogic chief economist Frank Nothaft said in the report. “Growing numbers of first-time buyers find limited for-sale inventory for lower-priced homes, leading to both higher rates of price growth for ‘starter’ homes and further erosion of affordability.”
Check out the full report here.
Written by Alex Spanko