Annual home price appreciation at the highest level since the start of COVID lockdowns
PHILADELPHIA CREAM – (BUSINESS WIRE) – US home prices rose again in April, albeit at a slightly slower pace than the month before. According to Radian Home Price Index (HPI) data released today by Red Bell Real Estate, LLC, a Radian Group Inc. (NYSE: RDN) company, house prices rose nationwide in late March. 2021 to end of April 2021 at an annualized rate of 10.4 percent. The company believes that the HPI Radian is the most comprehensive and timely measure of US real estate market prices and conditions available on the market today.
Over the previous twelve months, the HPI Radian increased 9.2% (April 2020 to April 2021), the fastest annual rate recorded since before the COVID outbreak. While April’s monthly rate was slightly lower than the previous month, the twelve-month rate increased from March. The recent annual increases take advantage of later months of weaker appreciation recorded during the early days of the nationwide shutdown. The Radian HPI is calculated based on the estimated values of over 70 million unique addresses each month, covering all types of single-family properties and geographic areas.
“As we are now a full year away from the initial COVID-induced national shutdowns of 2020, the strong national housing market in the United States continues to advance in April,” noted Steve Gaenzler, senior vice president of data and data. analysis. “Suppressed demand for housing, improving economic activity, a strong job market and low mortgage rates have been strong winds in favor of housing. However, as the United States begins to see increasing considerations to end or scale back government stimulus (monetary and fiscal) in the coming months, and fears of higher potential inflation loom large. headlines, it is necessary to monitor housing very closely in the coming months. six months, ”added Gaenzler.
NATIONAL DATA AND TRENDS
Median home price in the United States rose to $ 277,356
Active housing supply well below the long-term average
The estimated national average price for single-family and condominium homes was $ 277,356. Since the COVID lockdowns began in March 2020, the average home in the United States has appreciated by more than $ 20,000. The appreciation in home prices over the past year has increased homeowners’ equity levels by more than $ 1.5 trillion.
The increases in house prices are in part attributable to a continued lack of supply. After falling for 10 of the previous 12 months, active listings have now increased for three consecutive months, but only by 32,000 properties from the previous month. In April, more than 881,000 residential properties were for sale, the fifth month with less than a million properties listed nationwide. Over the past decade, the United States has had an average of 1.4 million homes on the market each month. At the current number of active listings, the United States has on average 40% fewer homes on the market than at any time over the past decade.
REGIONAL DATA AND TRENDS
All regions reported strong appreciation from the previous month.
Three western states consistently show strong appreciation in house prices
While all six regional indexes reported higher rates of 12-month house price appreciation, only two regions (central Atlantic and northeast) reported higher rates of appreciation compared to March. . In April, the North-East slightly exceeded the South Region for the highest appreciation rate (+ 11.9%). All regions showed strength during the month, with the worst performing region (Midwest) still registering a very impressive 9.1% increase from the previous month.
By looking at trends over the past six months, the Radian HPI can identify some state-level winners and losers. The states with the largest increase in appreciation trends include a combination of Southern, Southwestern, and Midwestern states, including NE, AZ, AR, and MS. The strongest states for appreciation in the past semester are ID, MT, GA, and WA. While these states showed increasing or constant appreciation rates, eleven of the 50 plus states in DC had monthly appreciation rates below the average appreciation of the past six months, including NC, ND, WV, and KY.
METROPOLITAN ZONE DATA AND TRENDS
Boise got stronger in April
The median price of major metropolitan areas exceeds the country
In the largest or most important metropolitan areas of the United States, the past three months have been among the fastest to appreciate with an average annual rate of appreciation of 9.6%. The strongest metro markets in the last quarter are Boise, ID, which continues to grow rapidly, Phoenix, AZ and Charlotte, NC. Some of the larger cities and metropolitan areas with slower appreciation in the last quarter include Boston, MA, Fargo, ND and Burlington, VT.
The average estimated median price of homes in the top 50 subways ended in April at $ 295,259. However, only the 20 largest subways exceeded the median average home price by more than $ 385,000. Relative to the estimated median national price, the largest cities continue to overtake the country. In April, the median for the largest metros was more than $ 100,000 above the national median.
ABOUT RADIAN HPI
Red Bell Real Estate, LLC, a subsidiary of Radian Group Inc., provides national and regional indexes for download at radian.com/hpi, as well as information on how to access the complete index library.
Additional housing market content is also available on the Radian Insights page at https://radian.com/news-and-knowledge/insights.
Red Bell offers the Radian HPI dataset as well as a customer access portal for content visualization and data extraction. The HPI Radian engine has created over 100,000 unique data sets, which are updated every month.
The Radian HPI Portal is a self-service data and visualization platform that contains a library of thousands of high-value indices based on both geographic dimensions as well as market or property attributes. The platform provides monthly updated access to nine different geographic dimensions, from national level to postal codes. Additionally, the HPI Radian provides unique insight into market changes, conditions and strength across several property attributes, including number of bedrooms and living area. To help clients better understand granular real estate markets, the library is regularly expanded to include more insightful clues.
In addition to the services offered by its subsidiary Red Bell, Radian ensures the American dream of responsible and sustainable homeownership through products and services that include state-of-the-art mortgage insurance and a full range of mortgages, risks , securities, valuation, asset management and other real estate services. The business is powered by technology, informed by data, and determined to deliver new and better ways to deal with and manage risk. Visit http://www.radian.com to see how Radian is shaping the future of mortgage and real estate services.