Housing prices rose 7.3% in 2012
The latest Case-Shiller numbers show that prices rose in 19 of the 20 cities tracked in 2012. Increases ranged from 2.2% in Chicago to 23% in Phoenix.
In another sign the housing market is healing, Case-Shiller reports that home prices rose 7.3% nationwide from the end of 2011 to the end of 2012.
Of the 20 cities tracked by the S&P/Case-Shiller Home Price Indices, 19 showed an increase in home prices between December 2011 and December 2012. The exception was New York City, where prices fell 0.5%. Case-Shiller’s 10-city index showed prices up 5.9%, and the 20-city composite found prices up 6.8%.
While the data look good, prices are still 29% below the peak in 2006. And Case Shiller's David Blitzer warned that price increases are likely to slow.
"These movements, combined with other housing data, suggest that while housing is on the upswing, some of the strongest numbers may have already been seen," Blitzer, chairman of the index committee, said in a news release.
The 19 cities where prices increased showed gains ranging from 2.2% in Chicago, which has lagged on most indicators, to 23% in Phoenix, which has shown double-digit improvement for the past eight month.
The year-over-year increases of 9.9% in Atlanta and 13.6% in Detroit were the two cities’ best showings since 1991, as far back as the indices have calculated. The increases in Dallas (6.5%), Denver (8.5%) and Minneapolis (12.2%) were the largest annual increases in those cities since 2001.
The cities posting the largest annual gains in home prices were:
- Phoenix: 23%.
- San Francisco: 14.4%.
- Detroit: 13.6%.
- Las Vegas: 12.9%.
- Minneapolis: 12.2%.
The cities showing the lowest rates of price growth in 2012 were:
- New York: down 0.5%
- Chicago: up 2.2%.
- Cleveland: up 2.9%.
- Boston: up 3.6%.
- Charlotte, N.C.: up 5.3%
About Teresa Mears
Teresa Mears is a veteran journalist who has been interested in houses since her father took her to tax auctions to carry the cash at age 10. A former editor of The Miami Herald's Home & Design section, she lives in South Florida where, in addition to writing about real estate, she publishes Miami on the Cheap to help her neighbors adjust to the loss of 60% of their property value.