Radar Logic home values report show increase in Greater Boston prices
Sep 2011 22

Radar Logic, which tracks and estimates US home values and values in 25 metropolitan areas, released its latest findings, earlier today.

The RPX Composite price most likely peaked for the year in June, according to the July 2011 RPX Monthly Housing Market Report. The RPX Composite, which tracks housing values in 25 US metropolitan areas, reached $188.11 per square foot on June 24 and has declined ever since.

The authors of the report see trouble in the near future, with foreclosure filings rising as the economy founders and home prices remain depressed.

Things are quite different in the Greater Boston area, however, based on my reading of the RPX Composite.

Prices rose 2% in the Boston Metropolitan Statistical Area (MSA) between July 2010 and July 2011, the second best result of the 25 areas covered by the company.

Activity jumped, as well, up 23.3% between those two dates, the fourth best in the country.

Year on year comparisons are a bit tough since last year’s spring market was an anomaly due to the expiring tax credit program that encouraged lots of people to buy properties sooner versus later. So, July sales might be higher this year than last because last year’s sales closed in May and June, and fewer in July. This seems to be true since Radar Logic show July 2010 closings to be 28.3% down from July 2009.

So, based on my back of the envelope calculations, July 2011 transactions are below 2009 levels.

Fewer sales.

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