In the second quarter of 2013, home values increased 2.4 percent compared with the first quarter to $161,100, according to Zillow's Real Estate Market Reports. This was the largest quarterly gain since the fourth quarter of 2005. Home values have returned to August 2004 levels, but are still 17.2 percent below their May 2007 peak.
The Zillow Home Value Index for June 2013 rose 5.8 percent compared with June 2012 and 0.9 percent compared with May 2013. Approximately 72 percent of the metro areas covered by the Market Reports posted increases in home values. Sacramento had the largest year-over-year increase, with a 29.5 percent jump.
Zillow predicts national home values will increase 5 percent over the next year, with 241 of the 257 markets expected to see increases in home values. Zillow anticipates the largest increases will be on the west coast.
More of Zillow's real estate research is available here.
