The housing market may be turning the corner. In September, home prices rose the most in six years.
“U.S. home prices jumped 5% in September compared with a year ago, the largest year-over-year increase since July 2006,” reports USA Today. The data, which points to a housing recovery, comes from CoreLogic, a provider of consumer, financial and property information, analytics and services to business and government.
This is good news. In fact, states the newspaper, “Steady price increases should give the housing market more momentum when home sales pick up in the spring. Rising prices encourage more homeowners to sell their homes and entice would-be buyers to purchase homes before prices rise further.”
The recovery seems to be nearly nationwide, as prices increased in all but seven states. And in just 18 of 100 large cities, they declined, as indicated by the report. Home prices rose in some of the states that were hardest hit by the housing bust. In Arizona, for example, prices for houses were boosted by 18.7 percent over the past year. Meanwhile in Idaho, which saw the second greatest increase, prices jumped 13.1 percent, found CoreLogic.
There were some drops reported– Rhode Island (3.5 percent) and Illinois (2.3 percent).
Because the market seems to be turning around, “home builders started construction on new homes and apartments at the fastest pace in more than four years in September,” states the USA Today article. “They also requested the most building permits in four years, a sign that many are confident that home sales gains will continue.”
Exit polling last night indicates that a feeling of overall economic improvement was a factor in voter support for President Obama. Forty percent of those surveyed said they thought the economy was on an upswing. “But in a much tighter race than the one that first swept Obama into the White House, the president hung onto his key demographics of women, young people, blacks and Hispanics,” the AP reports.