Idaho Ranked #2 for Strongest Housing Markets

Signs of a housing recovery continue although recovery has been slow in many areas.  From July of 2011 to July of this year, prices increased by more than 5.5% in 10 states.   Most of the states seeing a more stout housing recovery have many things in common.

Many, like South and North Dakota, have held a jobless rate below the national average.  In these particular states, home prices slightly dropped during the housing bust.  In economically stable areas home prices are expected to move higher although the increase will be modest.

Some states, such as Idaho, with the largest price increases during the “boom”  were hit very hard by the housing bust.  States such as Florida and Arizona saw home prices drop nearly 50%.  The decline was nearly 60% in Nevada.  The recovery is expected to be temporary in all 3 states.

Data points to an uneven housing recovery which will be based upon what happened to home prices geographically since  2007.  Housing markets which had economic strength throughout the recession will continue to improve.  States hurt by sharp declines in home values and high unemployment should expect the housing recovery to be difficult and long.

Below you will find the ranking  by 24/7 Wall St. of the 10 states with the strongest housing markets:

1)      Arizona

2)      Idaho (1 year home price change: 10%, Median home price:  $85,000, Unemployment:  7.5%)

3)      Utah

4)      South Dakota

5)      Colorado

6)      North Dakota

7)      Florida

8)      South Carolina

9)      Hawaii

10)   Montana