The Zillow blog post said that out of the 166 metros Zillow covers, 86 of them showed home value appreciation.
Phoenix (9.0 percent), Fort Meyers (6.7 percent) and Miami (5.2 percent) lead the pack when ranked by year-over-year change. Home values fell 0.9 percent nationally from May 2011 to May 2012, the the smallest year-over-year decline since October 2007.
“It is promising to see consecutive months of national home value increases, especially during a period in which we’d expected more downward pressure due to foreclosures,” said Dr. Stan Humphries, Zillow’s chief economist.
“Attention has now shifted to the tug-of-war situation with inventory, where buyers want to buy but sellers don’t want to – or can’t – sell. This inventory phenomenon, due to both the broader issue of negative equity that is keeping people in their homes and to rational seller behavior at a market bottom, will make for a more volatile housing recovery than what we initially expected.”
The Zillow May Real Estate Market Report breaks the Zillow Home Value Index down by region. The top ten areas ranked by year-over-year change are below:
Is this a sign that the housing market is continuing to recover? Do you think home values will continue to rise? Let us know what you think about this trend: