Source: Reverse Mortgage Daily
Five of the nation’s top 10 sellers’ markets are located in California, while all of the top buyers’ markets are located in Midwest and Eastern metros as the housing market increasingly becomes localized.
San Jose, San Francisco, Los Angeles, Riverside, and Sacramento are among the top sellers’ markets according to the February Zillow Real Estate Market Reports, accompanied by San Antonio, Seattle, Denver, D.C., and Dallas-Forth Worth.
It’s more of a buyer’s market on the other side of the country, where there’s less competition and more room for bargaining on prices in metros such as Cleveland, Philadelphia, Tampa, Chicago, and Pittsburgh.
“The real estate data in markets on both coasts are telling markedly different stories. Relatively strong job markets in the West are helping spur robust demand, which is being met with limited supply, causing rapid home value appreciation and giving sellers an edge,” said Zillow Chief Economist Dr. Stan Humphries. ”In the East, housing markets are appreciating a bit more slowly, and homes are staying on the market longer, which helps give buyers the upper hand.”
Buyers in sellers’ markets can expect tight inventory, more competition, and a greater sense of urgency, he continued.
Home values rose to $169,200 in February, Zillow’s Home Value Index indicates, up 5.6% year-over-year, and are expected to rise another 3% through next February. However, national home values stayed almost flat from January to February, while monthly and annual home value appreciation slowed to their lowest paces in months.
“As we put the housing recession further in the rear-view mirror, the broad-based dynamics that applied during those days, when all markets were reacting similarly to nationwide economic conditions, are fading,” Humphries said. “Real estate has always been local, and as the spring market gains momentum, this old adage will only become more pronounced.”