Home values kept rising in Washington, Idaho in second quarter 2018
Big jumps in home values continued across Washington state this spring, with Tacoma among the areas posting the largest increases in the U.S.
Home appreciation rose 14.9 percent in the second quarter compared to a year ago for the Tacoma metro area, according to a new report from the Federal Housing Finance Agency. That’s the third-highest year-over-year increase among the 245 metro areas listed for that time period.
It follows a strong first quarter in which Tacoma posted a 13.1 percent year-over-year increase.
Several Pacific Northwest metro areas were in the top 10 for year-over-year home appreciation increases. Boise, Idaho, ranked second on the list with a 15.6 percent increase, Bremerton fourth at 14.4 percent, Seattle sixth at 13.7 percent, Bellingham was eighth at 13.1 percent and Wenatchee ninth at 12.6 percent.
While home appreciation is still rising rapidly in the Pacific Northwest, it is starting to slow down in other parts of the U.S., according to the report. Across the U.S., home values rose 6.5 percent in the past year.
William Doerner, a supervisory economist for the agency, said recent mortgage rate increases could be a factor in the national slowdown.
“Rates are still inexpensive from a historical standpoint, but their bump-up appears to have gently pressed the brakes on house price increases,” Doerner said in a news release accompanying the data.