Massachusetts’ share of the housing recovery was 2.9 percent, according to an analysis by real estate tracking firm Zillow.
The U.S. housing market is more valuable than ever, the report stated, worth a cumulative $33.3 trillion in 2018. Since the market hit its lowest point in 2012, it has gained $10.9 trillion in value, and is now worth $4 trillion more than it was at the peak of the housing bubble.
“Seen from the rearview mirror, 2018 was a year of unusually strong, stable home value growth across the country,” Zillow Senior Economist Aaron Terrazas said in a statement. “But cracks in the foundation are clearly starting to emerge. During the second half of the year, appreciation slowed sharply in the priciest corners of the country while it picked up in affordable hotspots. … Housing wealth may have touched new highs this year, but home value gains don’t translate into dollars in the bank account unless homeowners opt to sell or borrow against their home and, in contrast to previous housing booms, many Americans have been more reluctant in recent years to spend against their home’s worth. Moving toward an uncertain future, that may prove to be a prescient choice.”
The national housing market gained $1.9 trillion in value in 2018, or 6.2 percent over the past year.
The New York/Northern New Jersey area is the single most valuable metro, worth $3 trillion, or 9.1 percent of the national housing market.
The California housing market accounts for nearly one-third of the value gained during the nationwide housing recovery. The Golden State’s total housing value has grown by $3.7 trillion since early 2012. It is the only state that has gained more than $1 trillion in value since the market fell. Four California markets – Los Angeles, San Francisco, San Jose and San Diego – are among the 10 most valuable metros in the country.
Over the course of the recovery, Massachusetts’ housing market gained $320.5 billion in value, according to Zillow. The market’s cumulative value in 2018 was $1.1 trillion, according to the firm.
