Rising home sales and declining foreclosure sales have driven the highest quarterly price increase since the national housing recovery began, according to the latestFNC Residential Price Index.
Prices rose 2.5 percent during the third quarter, according to FNC., which observed prices in the 100 largest metro areas in the country. The company found that national home prices have risen 11 percent since the beginning of the recovery, a timestamp that FNC considers to be the start of 2012.
“Continuing to lead in the recovery are the markets in high distress during the 2008-2009 mortgage crisis,” FNCnoted in a statement to the press.
Phoenix posted the highest cumulative price gain since the start of the recovery—a 46.2 percent increase.
The rest of the top five gains were recorded in Las Vegas (38.3 percent), Riverside, California (23.5 percent), Los Angeles (22.7 percent), and Orlando, Florida (20.5 percent).
The FNC 100-MSA index recorded a 0.5 percent price gain over the month of September.
Prices increased 6.2 percent from September last year to September this year and 5.7 percent from the third quarter of 2012 to the third quarter of 2013, according toFNC.
FNC reported 27 of the 30 metro areas in the FNC 30-MSAindex experienced rising prices over the month of September.
Miami and Riverside, California, topped the index with price gains of 2 percent over the month. They were followed closely by Baltimore and Charlotte, North Carolina, both of which posted increases of 1.9 percent.
The three cities to register price declines in September were St. Louis (-1.3 percent), New York (-0.6 percent), and Denver (-0.3 percent).
Both Denver and St. Louis experienced a rise in foreclosure sales in September, which FNC deemed as the culprit in both cities’ September price declines.
In St. Louis foreclosure sales made up almost 30 percent of September home sales, according to FNC.