In the past 12 months, home values have been rising dramatically. A recent report from the National Association of Realtors says that the annual increase of a medium-priced existing home was over 7%.
Lower-priced homes appreciated the most. A lower priced home is a home which is priced at 75% or less of the median price.A median price is the point where half of all homes sold, went for less and half of all homes sold went for more. These lower price loans rose by 10%. A low to middle priced home, which was defined as selling for between 75% of the median up to the median, rose by 8.3%. Middle priced homes, selling between the median and 125% of the median, rose by 7.3%
THe homes with the lowest percentage increase were the high priced homes. These homes appreciated, on average, by only 5.5%