Friday, June 11, 2010

Home prices move up in March, data mixed in April

Denver area home prices rose 4.1 percent during March compared to a year earlier. According to the March 2010 Case-Shiller home price index of 20 cities, Denver experienced the seventh largest increase in home prices. The city with the largest increase was San Francisco at 16.2 percent, followed by San Diego at 10.8 percent. Las Vegas showed the largest drop in home prices with a decline of 12.0 percent, followed by Detroit with a drop of4.6 percent.

Month-over-month comparisons for Denver from February to March showed a slight price increase as prices rose 0.6 percent. Prices fell from January to February with a drop of 0.8 percent.

Nationally, home prices have increased at least partially in response to the first-time homebuyer tax credit. Year-over-year comparisons in many markets show marked increases as home prices, driven by the tax credit, continue to rise above very low home prices experienced in the first quarter of 2009.

March price statistics provided by the Colorado Association of Realtors earlier this month showed a year-over-year price increase of 8.1 percent. The Realtor data includes only properties listed in the Metrolist sales database, and thus excludes new home sales any properties not sold with a Realtor. However, the upward movement in March prices for both the Realtor and Case-Shiller data indicates that the demand for housing strengthened in March.

The lowest median home price experienced in recent years was $182,571 during January 2009. According to Realtor data, Metro Denver home prices remain 12.5 percent below the peak of the market reached in June 2007.

April statewide home prices, as measured by MLS data provided by the Colorado Association of Realtors, dropped 8.8 percent compared to April of 2009. In Denver metro, Home prices increased by 10 percent, year over year.

Graphs reflect median home price data through April: