Cities In The Pacific Northwest And Florida Top Auction.com's List Of Fall's Hottest Single Family Housing Markets

IRVINE and SILICON VALLEY, Calif., Oct. 20, 2015 /PRNewswire/ -- Auction.com, LLC, the nation's leading online real estate marketplace, today released its Top Single-Family Housing Markets Report for Fall 2015, which ranks the nation's 50 largest housing markets according to current and forecasted housing fundamentals.

Among the 50 largest U.S. markets, the top five were Seattle, Fort Lauderdale, Orlando, Palm Beach County, Fla., and Portland. These markets had the best combination of rising home prices, favorable affordability and strong housing demand, combined with strong economic and demographic conditions that point to future demand.

Of the five markets highlighted in Auction.com's Spring 2015 single family market rankings issued on April 15, only Fort Lauderdale remains in the top five – moving up from fourth to second place – while the others have inched their way down the list. Denver fell from first to ninth place, San Antonio from second to 17^th, Nashville from third to seventh and Dallas from fifth to 19^th.

"While other factors certainly weigh on housing trends, it's clear that low oil prices are having a negative impact on energy-dependent markets across the country," said Auction.com Executive Vice President Rick Sharga. "States like Texas – where the economy relies heavily on the extraction, production and transportation of oil – are seeing higher unemployment and a slower rate of home sales and home price appreciation. On the other hand, markets like Orlando are probably experiencing an economic boost from the increased level of travel brought on by lower oil prices."

In the Northwest, both Seattle and Portland are experiencing robust housing fundamentals and strong demand, which are supported by strong local economies that have received significant boosts from the tech sector. The rankings are particularly encouraging for Florida, which was devastated by the housing bust and subsequent recession. The state had three markets in the top five that boast tremendous growth opportunities as housing fundamentals remain well below pre-recession levels.

Top Five Markets at a Glance

Top Market Highlights

Seattle

Seattle's economy is seeing healthy growth as the market's large technology sector drives employment to new all-time highs. The metro's single-family market is rapidly expanding and seasonally adjusted home prices have eclipsed the previous record high set in 2007. Prices jumped 4.4 percent over the last quarter and 10.9 percent year-over-year. Meanwhile, home sales are up 12.6 percent from a year ago, but remain below their prior peak, which leaves room for additional growth. Despite strong demand, single-family homes remain affordable and in-line with apartment affordability.

Fort Lauderdale

Employment in Fort Lauderdale has increased 3.7 percent over the past year, due in large part to growth within its financial services and professional/business services sectors. The metro has also exceeded the national average in terms of population growth over the past five years. After falling sharply during the recession, Fort Lauderdale's housing market is making a swift recovery with home prices up 5.9 percent and home sales up 7.9 percent from a year ago. Both prices and sales remain below pre-recession peaks leaving ample room for additional growth.

Orlando

Orlando is benefitting from a third consecutive year of 2 percent population growth economy and its economy is thriving, driven by its largest and most important sector: leisure and hospitality. The metro's housing market is in the midst of a strong recovery after being hit hard during the recession. Home prices are up 10 percent from a year ago – and 48 percent since bottoming out in 2011 – while sales have increased 9 percent year-over-year. With home prices 27 percent lower than their pre-recession peak and sales 18 percent below their all-time high, there is still plenty of room for market growth.

Palm Beach County

Though it has slowed from its booming 2014 pace, the Palm Beach economy continues to see solid gains. Even though the financial services sector lost jobs in seven of the last 12 months, the other sectors have driven a 2.6 percent job growth, well beyond the national average. Population grew 1.6 percent in 2014, the highest rate since 2005 and twice the national average. After experiencing sharp losses during the recession, the metro's housing market has made significant progress and has room to grow. Home prices increased 14.8 percent over the past year and sales increased 7.9 percent.

Portland

Portland's employment has accelerated to 4 percent and its payrolls have climbed to 6.6 percent above their previous all-time high. Its large business/professional services sector saw 5.9 percent year-over-year job growth and payrolls skyrocketing to 20 percent above their previous cyclical peak, while its burgeoning information sector saw 4.6 percent year-over-year growth. Portland's population grew 1.5 percent in 2014 and has outpaced the national average for a decade. Home prices have increased every quarter for the past three years and seasonally adjusted home prices recently eclipsed their previous 2007 peak. Prices increased 9.4 percent and sales are up 12.5 percent over the past year.

Market Rankings and Methodology

Sales and pricing activity on the Auction.com platform provide real-time insight into buyer demand and price appetite, particularly among real estate investors. Combining past and current trends with its economic and demographic growth forecasts, Auction.com has ranked the largest 50 metros for performance potential.

The rankings take into account pricing, sales, permit activity and economic growth.  Population growth is also considered, but it should be noted that the company utilizes annually compiled Census data. Therefore, any softening in demographics over recent months is not reflected.

"After the volatility of the boom and bust cycle that the housing market went through, we're finally seeing market dynamics that reflect more normal trends," said Auction.com Chief Economist Peter Muoio. "Metros in the top 10 have strong, underlying economic conditions and favorable potential in the coming years, while those closer to the bottom have housing conditions that suffer from a weaker economic outlook," said Muoio.

About Auction.com:  
Auction.com, LLC, is the nation's leading online real estate marketplace. Founded in 2007, the company has sold more than $32 billion in residential and commercial real estate assets. Auction.com has over 900 employees and headquarters in Irvine and Silicon Valley, Calif., as well as offices in key markets nationwide. Visit www.auction.com for more information.

SOURCE Auction.com, LLC

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