Nationally, home prices have shown steady year-over-year gains since spring. However, this pattern started even earlier in the Midwest and parts of Florida as evidenced by the top five markets in terms of median home price growth between the 3rd quarter of 2010 and 3rd quarter of 2011.
Homes sales across the Midwest rose in the 2nd half of 2011 driving steady price growth. Over the subsequent 12-month period, price growth has eased, but remains steady.
The five markets with the stronger home price growth over the 12-month period ending in the 3rd quarter of 2012 displayed a different pattern with strong swings between 2011 and 2012 following declines in prior 12-month period.
The sharpest gains were in cities that were hit hard by the subprime meltdown including Phoenix and Fort Myers, but Akron and Lansing in the Midwest also experienced sharp gains as did Boise.
Ken Fears is the Manager of Regional Economics and Housing Finance Policy. He focuses on regional and local market trends found in the Local Market Reports and the Market Watch Reports . He also writes on developments in the mortgage industry and foreclosures.