Two optimistic reports for the housing market have recently come out. CNN Money reported home prices jumped .9% in August for 20 cities according to the SP/Case-Schiller home price index. All of the 20 cities followed, except Seattle, increased each month for the past 5 months.
Of the cities S&P’s index covers, Phoenix has recovered the fastest, with an incredible 18.8% year-over-year gain in August. That marks the fourth month in a row of double-digit price hikes. Detroit prices rose 7.6% over the past 12 months and Miami’s grew 6.7%. A reduction in the housing inventory and continued low-interest mortgage rates have led to builders to begin adding new homes to the dwindling inventory, all positive signs for homeowners and buyers.
Also, Business Insider reported that Warren Buffett, the legendary investor, has been buying real estate brokerage firms around the country. He has been bullish on the housing market for several months and this latest move adds a very positive note to the US housing market. The new brokerage firms will be called Berkshire Hathaway HomeServices of America, Inc.