It’s no surprise today’s first quarter metro price report revealed that prices accelerated for the third straight quarter. That’s what happens when sales are strong and inventories remain near record lows.
What is amazing is just how fast some metro areas are moving. Seventeen percent of markets saw double-digit appreciation last quarter and many hovered just below that level. With income gains steadily rising but still around 2.5 percent, prices continue to outpace household earnings. That in itself underscores just how badly new and existing supply levels need to increase to get affordability to a healthier level.
Is your market among the fastest growing in the country (8 percent growth or higher)? Click on the chart below: