Home prices are up all over the country, but some states have seen particularly severe jumps.
The typical U.S. home value is currently $344,141, according to Zillow’s home value index, which only includes the middle price tier of homes. That figure marks more than a 20 percent jump in the past year.
But looking at an even longer span of time, home values have skyrocketed, according to an analysis of Zillow’s data, which included the typical value for homes in the 35th to 65th percentile range.
Here are the states that have seen the most dramatic increases in home values over the past nearly two decades.
While not technically a state, Washington, D.C., tops the list of locations that have seen the most significant spike in home values between 2002 and 2020, Zillow’s data showed.
Over that period of time, home prices in D.C. rose by just over 167 percent, and since 2012, prices jumped by about 54 percent.
A closer look at the numbers shows that the typical value for homes in the 35th to 65th percentile range in D.C. was valued at $650,167 in April of 2020, up from $243,410 at the same time in 2002, according to Zillow.
With a high demand for houses and a relatively low inventory, the District has seen housing prices spike as potential buyers swarm to purchase homes.
“I will say in periods of uncertainty, whether it’s economic uncertainty or life uncertainty, this idea of real estate or home, I feel like is really compelling to people,” Lisa Sturtevant, a housing market analyst and consults Bright MLS, a listing service in D.C., said to The Washington Post.
The island state was second in statewide housing price increases between 2002 and 2020.
Zillow’s home value index indicated that home values were up by almost 161 percent since 2002, increasing by nearly 39 percent since 2012.
More recently, March prices for single-family homes on O’ahu, a popular travel destination, hit a new record high, an issue the Honolulu Board of Realtors attributed to supply and demand.
“What everybody is asking is, at what point will it cause the market to normalize,” Chad Takesue, the board president, said to Hawaii News Now. “Until inventory levels get to a point where they meet, we continue to expect to see a competitive marketplace.”
Idaho was the only state where prices surged by more than 100 percent in 2020 compared to both 2012 and 2002 figures, according to Zillow’s data.
Between 2002 and 2020, home values in the Gem state surged by 125 percent, and jumped by 104 percent since 2012.
Robert Spendlove, a senior economist for Zions Bank, told KTVB 7, a Boise news outlet, that the Idaho housing market has led the country for several years, but prices could be nearing their peak.
“While prices are way up relative to other parts of the country, Idaho is still affordable, so we’ll continue to see prices going up, we’ll continue to see strong demand, but we won’t see that strong acceleration,” Spendlove said.
Zillow’s data backs up that analysis, showing that while prices have increased, the home value in April 2020 held at $304,468, well below the leading home values seen in other leading states in the rest of the country.
In Washington state, home values soared by 120 percent between 2002 and 2020, jumping from around $196,000 to nearly $432,000, according to Zillow’s data.
Earlier this year, a report from KING 5, a local Washington news station, showed that typical home values in 16 cities in the Seattle metro area were worth more than $1 million.
“There aren’t enough houses for all the buyers, and there are 20-30 buyers for every house,” Zach McDonald, a realtor with Real Property Associates in Seattle, told KING 5.
“I think another thing that’s happening more recently is interest rates have been going up a little bit more. So, there’s this fear of missing out as well that’s starting to creep in,” he added.
Oregon rounded out the top five most expensive home values for states in the U.S.
Portland, Ore. has ranked as one of the hottest housing markets in the country, according to The Washington Post.
While home values have climbed, they are still lower than those seen in many of the other states with the most significant price jumps, Zillow’s data showed.
As of April 2020, home values in Oregon were around $383,482, more than 117 percent higher than they were in 2002, when homes were valued at $176,325.
It’s not particularly surprising for the Golden State to make the list, as a city-by-city analysis of median home listing prices was led by California cities including San Jose, Los Angeles, San Francisco and San Diego.
While the state’s home value increase was not as high as some other states, California’s home value price tag of $575,250 in April 2020 ranked third in the country behind only Hawaii and D.C.
But still, between 2002 and 2020, home values in California climbed by 116 percent.