Nearly 30 cities are “in the clear” from dipping into another housing crisis, posting a “solid base” housing recovery, according to a new report released by Trulia
The
“big six cities” that are seeing the most improvements in housing are: Denver;
San Jose, Calif.; Pittsburgh; Little Rock, Ark.; Austin, Texas; and Colorado
Springs, Colo., according to the report. Those cities posted gains in asking
prices of 4 percent or more year-over-year and have seen their foreclosure rates
decrease.
Those
six markets “avoided the worst of the bubble,” says Jed Kolko, Trulia’s chief
economist. “Those metros didn’t have big price declines that we saw in Miami,
Phoenix, and Detroit — places that still have a lot of homes left in
foreclosures."
Kolko
says that Trulia defined “in the clear” in its report as markets with “positive
year-on-year asking price growth and low or moderate share of homes in
foreclosure.” The other 23 markets cited “in the clear” saw only slight price
growth in comparison to the “big six,” Kolko told MSNBC.com.
The
six markets saw the following increases in year-over-year asking price increases
in June, according to the report:
1.Denver:
7.2 percent increase
2.San Jose, Calif.: 6.2 percent increase3.Pittsburgh: 5.1 percent increase
4.Little Rock, Ark.: 5 percent increase
5.Austin, Texas: 4.4 percent increase
6.Colorado Springs, Colo.: 4.3 percent increase
However, several cities posted even higher price increases in June, but the Trulia report still labeled them “at risk.” Those markets included Phoenix (18.9 percent); Miami (16.1 percent); Cape Coral-Fort Myers, Fla. (14.9 percent); and West Palm Beach, Fla (9.6 [ercent). Even though these markets have seen annual asking prices increase, the Trulia report notes they still have a high share of homes in foreclosure.
2.San Jose, Calif.: 6.2 percent increase3.Pittsburgh: 5.1 percent increase
4.Little Rock, Ark.: 5 percent increase
5.Austin, Texas: 4.4 percent increase
6.Colorado Springs, Colo.: 4.3 percent increase
However, several cities posted even higher price increases in June, but the Trulia report still labeled them “at risk.” Those markets included Phoenix (18.9 percent); Miami (16.1 percent); Cape Coral-Fort Myers, Fla. (14.9 percent); and West Palm Beach, Fla (9.6 [ercent). Even though these markets have seen annual asking prices increase, the Trulia report notes they still have a high share of homes in foreclosure.
Source: “Some U.S. Metros ‘in the Clear’ of Housing
Crisis,” MSNBC.com (July 3, 2012) and Trulia Price Monitor Report (June
2012)