The number of improving U.S. housing markets decreased by 4 metro areas to 80 in August from 84 in July, according to the National Association of Home Builders/First American Improving Markets Index (IMI). Seventy-five areas stayed on the list from July, while nine fell off the list due primarily to slight changes in home prices.
Metropolitan areas from 32 states and the District of Columbia were included on the list for August. The five new metro areas on the list for August were Miami and Palm Bay, Fla.; Hinesville, Ga.; Terre Haute, Ind.; and Lubbock, Texas.
"The fact that we continue to see a strong core of metros showing up on the improving list each month adds to the growing evidence that the emerging housing recovery has a solid foundation on which to build as housing returns to its traditional role of driving economic growth," said NAHB Chief Economist David Crowe. Barry Rutenberg, NAHB chairman, cited the tight lending environment as a factor hindering positive momentum in housing.
The IMI is designed to track housing markets throughout the country that are showing signs of improving economic health. It identifies metropolitan areas that have shown improvement from their respective troughs in housing permits, employment and house prices for at least six consecutive months. A complete list and breakouts of metros newly added to or dropped from the list in August is available at www.nahb.org/imi.
