The median existing single-family home price increased in 83 percent of markets, with 148 of 178 metropolitan statistical areas showing gains in the second quarter of 2016 compared with the second quarter of 2015, according to the National Association of Realtors.
The national median existing single-family home price in the second quarter was $240,700, up 4.9 percent year-over-year. San Jose, Calif., recorded a median single-family home price above $1 million in the second quarter, the first time a metro area has surpassed the $1 million mark.
The home price increase in the second quarter was due to a combination of low inventory levels and a faster pace of home sales, said NAR Chief Economist Lawrence Yun in a statement.
“Steadily improving local job markets and mortgage rates teetering close to all-time lows brought buyers out in force in many large- and middle-tier cities,” he said. “However, with homebuilding activity still failing to keep up with demand and not enough current homeowners putting their home up for sale, prices continued their strong ascent—and in many markets at a rate well above income growth.”
There were 2.12 million existing homes available for sale at the end of the second quarter, down from 2.25 million available homes at the end of the second quarter in 2015.
