June was the 52nd consecutive month of year-over-year increases in median home prices according to ATTOM Data Solutions, the new parent company of analytics firm RealtyTrac.
The company’s report also found that 30% of the 130 metropolitan areas analyzed hit all-time home price peaks in June, including Dallas ($240,156) and Seattle ($385,000).
“Home prices in the greater Seattle area continue to appreciate above average rates. This is clearly an indication of not only continued faith in the housing market, but also the buoyancy of the regional economy,” said Matthew Garnder, chief economist for Windermere Real Estate.
“However, this appreciation comes at a cost. Housing affordability in the region is getting tested – specifically in the market areas that are within easy reach of the major employment centers. This is having particularly negative effects on first-time buyers, who are getting priced out of the market. unless we see a rapid increase in the number of homes for sale, this significant demographic will continue to be left behind.”
Darren Blomquist, senior vice president at ATTOM Data Solutions, said low mortgage rates are driving much of the price growth.
“The all-time home price highs nationwide an in many local markets are being enabled by historically low mortgage rates — which are falling once again this year,” Blomquist said. “It is likely that some of the most interest rate sensitive local markets will see home price appreciation knocked down when the low rate rug is finally pulled out from under the housing recovery. We are seeing signs of weakening appreciation in many bellwether markets already in spite of the rock-bottom rates.”
The median price for single-family homes and condos hit $231,000 in June, a 6% increase from the previous month and a 9% increase from June of last year, according to new data from ATTOM Data Solutions. It’s also an all-time high, breaking the previous record of $228,000 set in 2005.