SEATTLE, Jan. 26, 2021 /PRNewswire/ -- U.S. housing
gained nearly $2.5 trillion in value
in 2020 -- the most in a single year since 2005, according to a new
Zillow® analysis. The full stock of U.S. housing is now worth
$36.2 trillion.
2020 was a remarkable year for the housing market. Strong demand
drove intense competition among buyers, causing homes to fly off
the market at the fastest pace Zillow has recorded and pushing
prices higher. Housing demand was already strong coming into the
year with the large Millennial generation aging into prime
first-time home-buying age and mortgage rates hovering near
record lows. The widespread shift to remote work during the
COVID-19 pandemic prompted many to reevaluate their housing options
and supercharged demand.
Zillow expects 2021 to be even stronger, possibly exceeding last
year's $2.5 trillion gain. With
mortgage rates also likely to rise from today's near-record
low levels, buyers considering a move may want to do so soon before
their potential monthly payments rise.
"2020 was a record-breaking year for the housing market with
intense competition among buyers driving up home prices," said
Zillow economist Treh Manhertz. "While many faced financial
hardships because of the pandemic, others fortunate enough to
maintain stable income took a step back to contemplate what they
wanted their home to be and hopped on Zillow to help find a place
that filled their wish list. Builder confidence, perhaps in
reaction to the boosted demand, hit record highs and more homes are
being built as a result. Add that together and you see why the
housing market gained more than in any year since the Great
Recession."
More than a fifth (21.4%) of the nation's housing value resides
in California. Homes in
California are worth a cumulative
$7.8 trillion, more than the next
three states combined, and the state boasts four of the 10 metro
areas with the highest total housing value -- Los Angeles, San
Francisco, San Jose and San
Diego.
North Dakota ($64 billion), Wyoming ($70
billion) and South Dakota
($72 billion), three of the
least-populous states, have the smallest shares of the U.S. housing
market. Alaska was the only state
where the housing stock lost value in 2020, down 1.8% or about
$1.5 billion. That was caused by
relatively low levels of new construction and declining values
among homes in Alaska's top
tier.
Over the past decade, the total value of the housing stock has
more than doubled in six states. Idaho leads the way, gaining 149% since 2011.
Most of that growth comes from the Boise metro, where the total housing stock has
more than tripled in value during that time, most of any of the 100
largest U.S. metros. Nevada
(146.3%), Utah (126.2%),
Arizona (116.5%), Colorado (111.6%) and Washington (108%) also saw their total housing
market value double over the past decade.
At a local level, the New York
metro area continues to hold the most housing value, though its
lead is shrinking. New York metro
homes are worth $3.1 trillion in
total, with Los Angeles
($2.8 trillion) and San Francisco ($1.7
trillion) homes also exceeding $1
trillion. Seven metros gained more value than New York in 2020, reducing the gap at the top
of the list. The value of Los
Angeles' housing stock grew the most last year, up
$262 billion -- that's more than the
total value of homes in Las Vegas,
Orlando and Nashville, to name a few.
Total Housing
Market Value by Metro
|
Metro
Area*
|
Total Housing
Market Value
(Billions)
|
Total Housing
Market
Value Growth: 2020
(Billions)
|
Total Housing
Market Value
Growth: 2011-2020 (Billions)
|
New York,
NY
|
$3,132
|
$57
|
$639
|
Los Angeles,
CA
|
$2,813
|
$262
|
$1,358
|
Chicago,
IL
|
$849
|
$44
|
$195
|
Dallas-Fort Worth,
TX
|
$625
|
$38
|
$333
|
Philadelphia,
PA
|
$622
|
$49
|
$143
|
Houston,
TX
|
$533
|
$42
|
$272
|
Washington,
DC
|
$978
|
$75
|
$334
|
Miami-Fort
Lauderdale, FL
|
$698
|
$35
|
$327
|
Atlanta,
GA
|
$570
|
$50
|
$287
|
Boston, MA
|
$955
|
$79
|
$398
|
San Francisco,
CA
|
$1,712
|
$90
|
$913
|
Detroit,
MI
|
$354
|
$32
|
$189
|
Riverside,
CA
|
$551
|
$45
|
$285
|
Phoenix,
AZ
|
$563
|
$67
|
$328
|
Seattle,
WA
|
$791
|
$73
|
$433
|
Minneapolis-St. Paul,
MN
|
$399
|
$29
|
$167
|
San Diego,
CA
|
$713
|
$90
|
$360
|
St. Louis,
MO
|
$230
|
$16
|
$63
|
Tampa, FL
|
$310
|
$34
|
$164
|
Baltimore,
MD
|
$313
|
$20
|
$56
|
Denver, CO
|
$497
|
$48
|
$283
|
Pittsburgh,
PA
|
$184
|
$8
|
$60
|
Portland,
OR
|
$382
|
$34
|
$194
|
Charlotte,
NC
|
$263
|
$28
|
$158
|
Sacramento,
CA
|
$377
|
$38
|
$202
|
San Antonio,
TX
|
$167
|
$9
|
$74
|
Orlando,
FL
|
$230
|
$15
|
$127
|
Cincinnati,
OH
|
$187
|
$23
|
$74
|
Cleveland,
OH
|
$149
|
$12
|
$43
|
Kansas City,
MO
|
$189
|
$18
|
$79
|
Las Vegas,
NV
|
$233
|
$18
|
$140
|
Columbus,
OH
|
$186
|
$20
|
$90
|
Indianapolis,
IN
|
$166
|
$18
|
$80
|
San Jose,
CA
|
$747
|
$53
|
$418
|
Austin, TX
|
$264
|
$27
|
$152
|
Virginia Beach,
VA
|
$181
|
$18
|
$48
|
Nashville,
TN
|
$213
|
$12
|
$114
|
Providence,
RI
|
$218
|
$18
|
$67
|
Milwaukee,
WI
|
$134
|
$8
|
$42
|
Jacksonville,
FL
|
$149
|
$15
|
$73
|
Memphis,
TN
|
$92
|
$11
|
$39
|
Oklahoma City,
OK
|
$88
|
$7
|
$33
|
Louisville,
KY
|
$94
|
$4
|
$29
|
Hartford,
CT
|
$112
|
$7
|
$15
|
Richmond,
VA
|
$126
|
$8
|
$35
|
New Orleans,
LA
|
$127
|
$5
|
$40
|
Buffalo,
NY
|
$97
|
$9
|
$37
|
Raleigh,
NC
|
$149
|
$14
|
$71
|
Birmingham,
AL
|
$76
|
$5
|
$23
|
Salt Lake City,
UT
|
$164
|
$19
|
$85
|
*Table ordered by
market size
|
|
About Zillow Group
Zillow Group, Inc.
(NASDAQ: Z and ZG) is reimagining real estate to make it easier to
unlock life's next chapter.
As the most-visited real estate website in the U.S., Zillow® and
its affiliates offer customers an on-demand experience for selling,
buying, renting or financing with transparency and nearly seamless
end-to-end service. Zillow Offers® buys and sells homes directly in
dozens of markets across the country, allowing sellers control over
their timeline. Zillow Home Loans™, our affiliate lender, provides
our customers with an easy option to get pre-approved and secure
financing for their next home purchase. Zillow recently launched
Zillow Homes, Inc., a licensed brokerage entity, to streamline
Zillow Offers transactions.
Zillow Group's affiliates and subsidiaries include Zillow®,
Zillow Offers®, Zillow Premier Agent®, Zillow Home Loans™, Zillow
Closing Services™, Zillow Homes, Inc., Trulia®, Out East®,
StreetEasy® and HotPads®. Zillow Home Loans, LLC is an Equal
Housing Lender, NMLS #10287
(www.nmlsconsumeraccess.org).
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SOURCE Zillow