National home prices surged 7 percent between March 2017 and March 2018, according to the CoreLogic Home Price Index.
March’s home prices increased 1.4 percent from February estimates.
The CoreLogic HPI Forecast is predicting a 0.1 percent rise in prices for April and a 5.2 percent rise by March 2019.
“High demand and limited supply have pushed home prices above where they were in early 2006,” CoreLogic Chief Economist Frank Nothaft said in a statement. “New construction still lags historically normal levels, keeping upward pressure on prices.”
Prices first pushed past 2006 values in September 2017.
March’s 7 percent price jump is the highest year-over-year gain since May 2014, when home prices increased 7.1 percent compared with the prior year.
Homes in all 50 states gained value year-over-year in March. The study also found that 50 percent of the nation’s top 50 housing markets were considered to be overvalued, prices rising considerably faster than incomes.
“The dream of homeownership continues to fade away for the average prospective buyer,” CoreLogic CEO Frank Martell said in a statement. “…This is clearly an unsustainable condition that can only be remedied by aggressive and coordinated public/private sector actions.”
