Home prices continue to surprise, posting a double-digit annual gain in April.
Home prices, including distressed sales, increased 12.1% year-over-year, representing the biggest annual increase since February 2006 and the 14th consecutive monthly increase, CoreLogic said Tuesday.
Additionally, home prices, including distressed sales, increased by 3.2% from March to April.
"Increasing demand for new and existing homes, coupled with low inventory, has created a virtuous cycle for price gains, most clearly seen in the Western states with year-over-year gains of 20% or more," said Dr. Mark Fleming, chief economist for CoreLogic (CLGX).
Excluding distressed sales, home prices increased 11.9% on a yearly basis. While home prices, excluding distressed sales, also increased on a monthly basis to 3% in April compared to March.
The states with the steepest price appreciation rates included Nevada, where prices rose 24.6% annually, followed by California, (19.4%), Arizona (17.3%), Hawaii (17%) and Oregon (15.5%).
On the flip side, the states where prices dropped the most include Alabama (1.6% decline) and Mississippi where values fell 1.7%.
Of the top 100 Core Based Statistical Areas, measured by population, 94 posted year-over-year increases in April, unchanged from March.
"The pace of the housing market recovery quickened in April as home prices rose across the U.S.," said Anand Nallathambi, president and CEO of CoreLogic.
He added "For the second consecutive month, all 50 states registered year-over-year home price gains excluding sales of distressed homes. We expect this trend to continue, bolstered by tight supplies and pent up buyer demand."