U.S Housing Prices finally hit bottom

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Zillow the home and real estate  firm and market place says second-quarter data showed the first annual increase in value since 2007. The company predicts a 1.1% increase in home values in the next year. It has been on a slight increase each of the last four months

Zillows press release says that “National home values have reached a bottom. Median home values, as measured by the Zillow home value index, have risen for four consecutive months. U.S home values rose 0.2 percent from the second quarter of 2011 to the second quarter of 2012. This was the first annual increase in U.S home values since 2007. The Zillow home value forecast shows the 67 of the 156 markets it covers will experience an increase in home values over the next 12 months. Nationally, Zillow forecasts home values will rise 1.1 percent.”

After four months with rising home values and increasingly positive forecast data, it seems clear that the country has hit a bottom in home values” said Zillow chief Economist Dr.Stan Humphries. ” The housing recovery is holding together despite lower than expected job growth, indicating that it has some organic strength of its own”

Foreclosures

Foreclosures continued to fall, with 5.8 out of every 10,000 homes lost to foreclosure in June. Foreclosures have been declining since January, when 7.9 out of every 10,000 homes were lost to foreclosure. This number is expected to increase in the future, as foreclosure starts have increased since the completion of the National Foreclosure Settlement.

Foreclosure re-sales also fell, making up 15.6 percent of all sales in June. Foreclosure re-sales have been falling since February, when they made up 18.8 percent of all sales.

 

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