Zillow: House Values Higher in Philly, But Still Below All-Time Highs
According to the latest Zillow Real Estate Market Report, house values set new record highs in February in 26 percent of the nation’s housing markets, indicating that the housing market recovery in those areas was complete.
Philadelphia was not among that 26 percent. While house values in the Greater Philadelphia market as measured by the Zillow Home Value Index were 1.6 percent above year-ago levels at $203,900, they remain 12.4 percent below their all-time highs.
Prices should continue to rise locally, as the number of homes on the market fell 4.6 percent from year-ago levels.
Most of the markets where house values hit new all-time highs are in the West and South. Most markets in the Midwest and Northeast remain below their all-time highs by double digits. The national Zillow Home Value Index stands at $184,600, up 4.3 percent from year-ago levels but 5.9 percent off the all-time high.
Zillow Chief Economist Dr. Svenja Gudell said in a news release that while the new record highs indicated a “return to normalcy” in some markets, “the fact that other markets are still off by double digits may not mean those markets are far from being recovered. It just highlights how extraordinarily inflated home values had been during the housing bubble.”
Zillow’s Rent Index for the Philadelphia market stood at $1,554 in February, up 1.7 percent from year-ago levels.