Tuesday, May 8, 2012
Improving Housing List Mostly Holds Steady in May
One of the most battered housing markets during the housing crisis, plagued with a number of foreclosures and falling home prices, is on the mend, joining a list of improving housing markets in May, according to a newly released index by National Association of Home Builders/First American.
Phoenix was among 17 metro areas added to this month’s Improving Market Index. Also among some of the metro areas added this month were Bowling Green, Ky.; Bend, Ore.; and Lubbock, Texas.
The monthly index, created by the National Association of Builders and First American, measures areas that have shown improvement in housing permits, employment, and prices for at least six consecutive months.
The May index mostly held steady at 100 metro areas showing improvement, down from only 101 in April. While 17 new areas were added in May, 18 metro areas previously on the list dropped off.
"The fact that there are 100 markets in 34 states and the District of Columbia represented on the improving list illustrates that all housing markets are local, and that the national headlines often don't apply to what's happening in a specific metropolitan area," says NAHB Chairman Barry Rutenberg. "In places where employment is firming up along with demand for new homes, the main factors weighing down the housing market continue to be access to credit — for both builders and buyers — and the difficulty of obtaining accurate appraisals on new construction."