U.S. home values continued to climb in April, increasing 5.2 percent compared to April 2012 and increasing 0.5 percent from March, according to a report from real estate portal Zillow. This is the sixth consecutive month of annual home value appreciation at or above 5 percent.
That puts the average U.S. home price at $158,300, according to Zillow’s Home Value Index. The last time national home values were at this level was in June 2004.
Home prices continued to increase in Boston according to Zillow’s figures, but at a somewhat slower pace than in the rest of the country, increasing 0.2 percent since March and up 4.8 percent since April 2012, to an average price of $323,000.
Of the 365 metros covered by the index, 55 percent saw home values climb in April from March. Of the 30 largest metro areas covered, Sacramento experienced the largest monthly increase, with home values rising 3.4 percent. Other large metro areas with notable monthly increases include Las Vegas at 3 percent and San Francisco at 2.8 percent.
"April marks the sixth straight month of annual home value appreciation of 5 percent or above, the longest such streak since the height of the bubble in 2006. In the short-term, this has been welcome news for homeowners. But in the long-term, this cannot be sustained, and consumers entering the market today should not expect this kind of appreciation to last," Zillow Chief Economist Stan Humphries said in a statement. "Overall, we expect home value appreciation to moderate as more supply comes on line over the next year, but in some areas, runaway home value appreciation, combined with expected interest rate hikes in coming years, runs a real risk of pricing out many potential buyers. Home values in these areas will have to flatten or even fall to come back in line."
The number of completed home foreclosures across the country in April fell to 4.81 homes foreclosed out of every 10,000 homes nationwide, down 0.7 homes per 10,000 from March and 2.1 homes per 10,000 from April 2012.
This is the lowest monthly level of foreclosure liquidations since September 2007. Foreclosure re-sales represented 12 percent of homes sold in April, down 1 percentage point from March and 4 percentage points from April 2012.