April 12, 2023
Key Insights At National Level
Nationwide, home values for combined single-family detached and single-family attached properties increased by just 1.2% in March 2023 from March 2022. This continues to be the lowest year-over-year increase in more than 10 years.
However, month over month, home values bounced back strongly in March 2023, with a 1.2% increase from last month (non-seasonally adjusted). This market seems to show a bottom, breaking the price depreciation trend that started last summer. The coming months will tell whether this home price rally has legs or it’s just a “head fake”.
Home values nationwide remain down by 4.3% through the end of March 2023 compared to their June 2022 market peak.
Key Insights At State Level
On a year-over-year basis, the list of states with annual price declines grows to 12, with Ohio, Massachusetts and Hawaii added to the previous month’s list. Idaho continues to lead the pack, with a -9.2% annual decline in home values.
On a month-over-month basis (non-seasonally adjusted), all states registered price increases in March, except for Ohio, Maine, West Virginia and Louisiana.
From the June 2022 market peak, most states are still in negative territory, led by Idaho, Nevada and Arizona which have recorded price drops of more than 10% through the end of March 2023.
Top 50 CBSA Markets
On a year-over-year basis, about half of the top 50 CBSA markets are in negative territory. San Francisco (CA) and San Jose (CA) remained in front, with price depreciations of more than -14%. Miami (FL) continues to record the highest annual growth, though it has shrunk to around 7% through the end of March 2023.
Considering the June 2022 market peak, all top 50 markets are still in negative territory, except Kansas City (KS). However, most major markets (particularly the hardest hit West coast markets) were able to recover some of their losses, given the fairly strong price growth of the last couple of months.
Over the last month, all top 50 markets have recorded price increases, except for Cleveland (OH). In fact, 4 out of 5 markets showed monthly price increases of more than 1% (non-seasonally adjusted) in March 2023.
Why TerraIndex™ HPI
Our Home Price Index (HPI) is based on the proprietary Quantarium Valuation Model (QVM) value estimates for more than 100 million residential U.S. homes. QVM has been tested extensively in the last 5 years by some of the top third-party AVM testing agencies in the U.S. and has been consistently ranked at the top for both Accuracy and Hit Rate performance metrics. QVM re-computes the estimated values for the entire national footprint on a weekly basis, along with HPIs at various geography levels – from State, County, CBSA down to Zip Code. That allows TerraIndex™ HPI to provide the most current market insights, being weeks faster than most other housing indices in the U.S.
The report for a given month is usually available on the second Wednesday of the following month, for example HPIs for the month of December 2022 were made available on Wednesday, January 11, 2023.
Located in Bellevue, WA, Quantarium was founded by a team of leading scientists and Ph.D.’s. The company has designed and developed an innovative and enabling set of AI and Visual Technologies currently being deployed across multiple real estate industry sectors. Quantarium is one of the most accurate sources of property insights for over 158 million U.S. properties and trusted by major mortgage lenders, financial institutes, builders, direct marketing agencies, and real estate professionals across the nation. With a technology suite that is different in kind, then degree, the company’s products and services uncover and capitalize on the core DNA of vertical industries. From genetic modeling property valuations and markets that understand and interpret real estate data as expressed through synthetic future populations, through to CV adjusted values, Quantarium offers real AI to drive real value.