San Diego home prices have hit a nearly 5-year high, ushering in more evidence to “confirm the housing recovery’s strength,” the S&P/Case Shiller home price index reported on Tuesday.
Residential real estate prices rose nearly 15 percent from a year ago and almost 4 percent from the previous month, based on April figures from the national real estate indicator. Those gains bring back home values to June 2008 levels.
The index, which has two a month lag, calls the housing bounce-back “broad based.”
When looking at all of the 20 major metro areas in the index, prices are up 12 percent year-over-year, the highest return in seven years.
Those same areas have all shown annual increases for at least four straight months. In San Diego, April’s returns mark the 10th consecutive month of positive year-over-year returns.
Taken together, the 20 cities in the index posted a nearly 3 percent price increase, marking the biggest positive return in the history of that composite index, which goes back 13 years.
“The recovery is definitely broad based,” said David M. Blitzer, chairman of the S&P’s index committee. “Recent economic data on home sales and inventories confirm the housing recovery’s strength.”
Such news continues to be a positive sign for homeowners who have been waiting for their home values to bounce back from recession levels.
Limited inventory and pent-up demand have mainly contributed to soaring real estate prices, potentially pricing out potential buyers.