Home prices have risen quickly amid the pandemic. The median sales price of single-family existing homes increased in 99% of the 183 metro areas tracked in the second quarter compared to a year ago. Ninety-four percent of the markets posted double-digit price increases, according to a new report from the National Association of REALTORS®.
Inventory shortages and a large influx of buyers, particularly as mortgage rates remained historically low, have driven demand and led to higher home prices.
In the last year, Boise, Idaho, has seen the largest percentage change to its median home prices in the country, jumping 12.99% from December 2020 to June 2021. The median home price is now $410,100 in Boise.
HouseCanary, a real estate brokerage, identified the 25 metro areas with the highest median home price changes in that time (December 2020 to June 2021).
Also, “looking at the markets experiencing the highest price growth, we have seen large migration to states with no income tax, including Florida, Washington, Nevada, and Texas,” said Chris Stroud, co-founder and chief of research at HouseCanary. Ten of the metro areas in the top 25 are in Florida alone. “There is a general migration pattern toward southern, southwestern, and mountain states. While these themes were present before COVID-19 hit the U.S. in spring 2020, they have significantly accelerated as the pandemic has altered the way many Americans work and live.”
The markets with the largest price jumps over the past year are:
- Boise, Idaho: 12.99% (percent change from December 2020 to June 2021)
- Provo-Orem, Utah: 12.22%
- Ocala, Fla: 12.1%
- Modesto, Calif.: 10.92%
- Cape Coral-Fort Myers, Fla.: 10.31%
- Atlantic City-Hammonton, N.J.: 9.51%
- Stockton, Calif.: 9.47%
- Phoenix-Mesa-Chandler, Ariz.: 9.43%
- Visalia, Calif.: 9.21%
- Deltona-Daytona Beach-Ormond Beach, Fla.: 9.07%