94% of Metro Markets Show Net Gains in Home Values over a 5-Year Period

Nearly 94% of the 292 nationwide metropolitan markets in a quarterly survey by the Federal Housing Finance Agency (FHFA) showed positive net home values over a 5 year timeline. 27 metropolitan areas - including 9 of 11 areas within Washington that are included in the survey - notched gains of 50% or higher since 2003.

Among Washington state's metro markets in the survey, the TriCities area encompassing Kennewick-Pasco-Richland ranked 13th nationally with a 4.11% 1-year gain and a 20.05% 5-year gain, topping other in-state areas. Seattle-Bellevue-Everett, while retreating 2.97% over the past year, saw it's 5-year gain come in at 54.86%.

Only 43 nationwide metropolitan markets (about 15% of the total) saw appreciation gains of 2% or higher in the past year.

Of 20 ranked metropolitan markets with the greatest price declines over the past four quarters, all but one (Las Vegas-Paradise, NV) were in California or Florida.

FHFA purchase-only and all-transactions house price indexes track average house price changes in repeat sales or refinancings of the same single-family properties. Both indexes are based on data obtained from Fannie Mae and Freddie Mac for mortgages originated over the past 34 years.

The report was previously published by the Office of Federal Housing Enterprise Oversight (OFHEO). The complete 85-page survey is available at www.fhfa.gov.