ZILLOW INC 
By SEATTLE, Jan. 10, 2012 /PRNewswire/ -- Home values in the United States were essentially unchanged in November, decreasing a marginal 0.1 percent from October, according to this month's Zillow® Real Estate Market Reports[i]. Annually, the Zillow Home Value Index[ii] fell 4.6 percent from November 2010 to $147,800 and has returned to late 2003 levels.
Regionally, home values appreciated or remained flat from October to November in 60 percent of the 165 housing markets covered by Zillow, compared to 24 percent last year. Major metropolitan statistical areas (MSAs) that experienced flat or increasing home values include Los Angeles, Washington, Miami-Ft. Lauderdale, Fla., San Francisco and Detroit. On an annual basis, the median home value is down for nearly all (90 percent) of the 165 MSAs covered by Zillow, although the rate of annualized depreciation has slowed significantly in the majority of the markets.
Meanwhile, foreclosure liquidation rates have fallen steadily since the robo-signing controversy in late 2010 as banks slowed down their processing of foreclosures. In November, 8.1 out of every 10,000 U.S. homes were foreclosed upon. Foreclosure liquidations peaked in October 2010 at 11 out of every 10,000 homes and could rise again pending the attorneys general settlement which will give banks more certainty over the foreclosure process, therefore opening the backlog of foreclosures.
"Overall, we are seeing encouraging signs in housing data such as sequential months of slowing depreciation rates, stabilizing markets and organic improvement in value trends, largely in the absence of government policy intervention," said Zillow Chief Economist Dr. Stan Humphries. "However, we're not out of the woods yet. Supply and demand are still not in balance in many markets and we do expect higher foreclosure liquidation rates near-term, which will put additional downward pressure on home values."
Dr. Humphries continued, "Even with the anticipated increase in foreclosures, look for 2012 to be a transitional year in which home values fall modestly followed by a prolonged period of flat home values. We're still three to five years away from 'normal' housing market conditions."
Largest 25 Metropolitan Zillow Home Value Index Foreclosures
Statistical Areas Covered by
Zillow
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November MoM YoY Change Homes Foreclosure
2011 Change Change From Foreclosed Re-sales[iii]
Peak (out of every
10,000 homes)
United States $147,800 -0.1% -4.6% -23.8% 8.1 19.1%
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New York $340,100 -0.8% -4.7% -24.8% 0.5 2.5%
Los Angeles $383,100 0.1% -6.9% -37.8% 10.5 27.2%
Chicago $161,700 -0.7% -10.2% -35.0% -- --
Dallas $120,700 -0.4% -4.4% -15.9% 9.3 20.6%
Philadelphia $187,100 -0.7% -5.0% -18.6% 2.3 7.7%
Washington $301,600 0.0% -1.5% -29.5% 4.2 15.6%
Miami-Fort Lauderdale, Fla. $137,000 0.1% -3.9% -55.4% -- --
Atlanta $109,800 0.0% -13.7% -37.5% -- --
Boston $304,600 -0.4% -2.7% -19.7% -- --
San Francisco $464,500 0.2% -6.2% -33.7% 11.0 25.7%
Detroit $72,900 0.3% -6.2% -52.9% -- --
Riverside, Calif. $178,600 0.1% -5.6% -55.6% 19.8 43.3%
Phoenix $122,100 0.8% -6.8% -56.3% 22.6 37.3%
Seattle $252,600 0.0% -8.6% -33.1% 10.9 24.8%
Minneapolis-St. Paul, Minn. $163,600 -0.4% -8.6% -31.6% 9.5 19.0%
San Diego $338,800 0.1% -5.1% -36.6% 10.5 26.0%
Tampa, Fla. $103,400 -0.6% -10.0% -52.8% -- --
St. Louis $120,900 -1.0% -8.5% -22.1% -- --
Baltimore $214,700 0.0% -2.2% -24.2% 2.6 10.6%
Denver $203,600 0.0% -2.5% -11.7% 9.3 23.7%
Pittsburgh $106,100 -0.3% 0.8% -1.3% 2.3 8.7%
Portland, Ore. $207,400 -0.4% -6.5% -26.5% 14.3 15.4%
Sacramento, Calif. $202,400 0.3% -9.4% -51.9% 17.4 38.3%
Orlando, Fla. $113,300 0.4% -7.4% -56.1% -- --
Cleveland $108,900 -0.7% -5.4% -23.2% 7.4 21.7%
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The full national report, in its interactive format, will be available at www.zillow.com/local-info at 8 a.m. ET on Tuesday, Jan. 10. Additionally, in most areas, data is available at the state, metro, county, city, ZIP code and neighborhood levels.
About Zillow, Inc.
Zillow (NASDAQ: Z) is the leading real estate information marketplace, providing vital information about homes, real estate listings and mortgages through its website and mobile applications, enabling homeowners, buyers, sellers and renters to connect with real estate and mortgage professionals best suited to meet their needs. In addition, Zillow operates an industry-leading economics and analytics bureau led by Zillow's Chief Economist Dr. Stan Humphries. Dr. Humphries and his team of economists and data analysts produce extensive housing data and research covering more than 150 markets at Zillow Real Estate Research. Zillow, Inc. operates Zillow.com®, Zillow Mortgage Marketplace, Zillow Mobile, Postlets® and Diverse Solutions(TM). The company is headquartered in Seattle.
Zillow.com, Zillow, Zestimate and Postlets are registered trademarks of Zillow, Inc. Diverse Solutions is a trademark of Zillow, Inc.
[i] The data in Zillow's Real Estate Market Reports is aggregated from public sources by a number of data providers for 165 metropolitan statistical areas dating back to 1996. Mortgage and home loan data is typically recorded in each county and publicly available through a county recorder's office.
[ii] The Zillow Home Value Index is the median Zestimate® valuation for a given geographic area on a given day and includes the value of all single-family residences, condominiums and cooperatives, regardless of whether they sold within a given period. It is expressed in dollars and is for a particular geographic region.
[iii] The percentage of home sales in a given month in the US where the home was foreclosed upon within the previous 12 months (e.g. sales of bank-owned homes after the bank repossessed a home during a foreclosure).
SOURCE Zillow, Inc.
