Reno housing market on the mend, builders association report says
For the first time, Reno’s housing market has joined the growing list across the country of metropolitan areas recovering from one of the worse housing crises in decades.
Reno is one of the 47 new metros added to the National Association of Home Builders/First American Improving Markets Index, which was released on Monday. A total of 242 markets across the United States showed continued improvement in January, up from 201 in December. It was the fifth consecutive increase.
“In Reno, you guys took one of the biggest hits and were down on the map for some of the longest periods, but you really seem to be moving up,” said Robert Denk, assistant vice president for the national builders association. “There’s still plenty of room to go, but you’re moving in the right direction.”
Cities that have shown at least six straight months of growth in housing permits, employment and house prices from their lowest points are added to the index.
Reno has seen 4.7 percent growth in building permits since its low in June 2009, a 12.3 percent increase in home prices since February 2012 and a 3.3 percent improvement in employment since February 2012, according to the report.
The list was created in September 2011 to track the recovery of 361 areas nationwide. The index launched with 12 markets that started on the path to a healthier housing environment.
“Slowly, but surely, we’ve gotten markets all around the country sort of on the mend, and the national numbers are starting to reflect that,” Denk said. “More than two-thirds (of the markets) are really showing improvement.”
Early additions to the list showed the strongest markets getting back on their feet. Meanwhile, more cities in the hardest hit states of California, Nevada and Florida have been included recently.
“Not only are the strongest markets turned around and making progress, but some of the hardest hit markets out there ... are beginning to see light at the end of the tunnel,” he said.
The jump in homes prices in Reno played a key role in its improving status. A limited home supply and large demand have raised median homes sale prices to $182,500 in November, according the Reno/Sparks Association of Realtors. The median price hit a recession-low $135,000 in January 2012.
Reno is one of the 47 new metros added to the National Association of Home Builders/First American Improving Markets Index, which was released on Monday. A total of 242 markets across the United States showed continued improvement in January, up from 201 in December. It was the fifth consecutive increase.
“In Reno, you guys took one of the biggest hits and were down on the map for some of the longest periods, but you really seem to be moving up,” said Robert Denk, assistant vice president for the national builders association. “There’s still plenty of room to go, but you’re moving in the right direction.”
Cities that have shown at least six straight months of growth in housing permits, employment and house prices from their lowest points are added to the index.
Reno has seen 4.7 percent growth in building permits since its low in June 2009, a 12.3 percent increase in home prices since February 2012 and a 3.3 percent improvement in employment since February 2012, according to the report.
The list was created in September 2011 to track the recovery of 361 areas nationwide. The index launched with 12 markets that started on the path to a healthier housing environment.
“Slowly, but surely, we’ve gotten markets all around the country sort of on the mend, and the national numbers are starting to reflect that,” Denk said. “More than two-thirds (of the markets) are really showing improvement.”
Early additions to the list showed the strongest markets getting back on their feet. Meanwhile, more cities in the hardest hit states of California, Nevada and Florida have been included recently.
“Not only are the strongest markets turned around and making progress, but some of the hardest hit markets out there ... are beginning to see light at the end of the tunnel,” he said.
The jump in homes prices in Reno played a key role in its improving status. A limited home supply and large demand have raised median homes sale prices to $182,500 in November, according the Reno/Sparks Association of Realtors. The median price hit a recession-low $135,000 in January 2012.
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