Market DirectionStatistics

Recession Still Felt for Half of US Homes

Some markets have recovered very well from the recession, with over 95% of home values in seven of the 35 largest markets exceeding the pre-recession peak in 2006. And in 21 of those 35, the median home value has reached this point. The housing boom and bust didn’t affect every market equally, though, and nor has recovery been the same for all of them. Half of all US homes haven’t fully recovered.

Market stability was a large contributing factor. The boom was enormous in Las Vegas — and the bust shattered the market, with less than 1% of homes having fully recovered value. The Denver market was more stable a decade ago when the crisis hit, and enjoys values higher than 2006 levels for 99.6% of homes.

Other lasting effects of the crisis are rent values and inventory. Though the rate of acceleration is slowing, rent values are still going up. Similarly, the decline in inventory isn’t as fast as it has been, but it’s still dropping. Inventory will eventually recover, but inflation means rent values will continue to go up even when the market stabilizes.

If there is a particular market you are interested in, or just want more info, check out the article and table provided by Zillow here:

http://zillow.mediaroom.com/2018-07-26-Half-of-All-U-S-Homes-Are-More-Valuable-than-Pre-Recession-Peak

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