The latest FNC Residential Price Index, an index created for the mortgage industry, recorded a 28-month high for home prices in February, the most recent data available. The index increased 6.1 percent — the fastest rate it’s grown since July 2006.
The index shows the strongest price momentum is occurring in Phoenix, where prices have surged nearly 30 percent in the past year.
“The city’s rapid price climb is attributable to active investment purchase of distressed properties that has pushed up overall home prices,” according to FNC.
Many of the hardest-hit markets during the housing crash are showing some of the strongest comebacks. The following housing markets have posted double-digit price gains in percentages year-over-year, February 2013 versus February 2012, according to FNC.
1. Phoenix: 29.3 percent
2. Las Vegas: 14.5 percent
3. Detroit: 13.1 percent
4. San Francisco: 12.3 percent
5. Denver: 11.3 percent
6. Sacramento: 10.8 percent
7. San Diego: 10.6 percent
Source: FNC Residential Price Index
I think it’s great to see Denver & Detroit in the top 5, since I currently provide wholesale lending services in the Denver market, and was born and raised in the Detroit metro area.
