Us house prices jump to 2008 levels

The average price of a sold US home has jumped 12 per cent in the last year to levels last seen in 2008.

The latest report from RealtyTrac shows that the median price of US residential properties sold in July — including both distressed and non-distressed sales — was $191,000, up 3 per cent from the previous month, and up 12 per cent year-on-year to the highest level since September 2008.

"As distressed sales continue to decline, the share of sales is tilting toward more expensive homes, boosting the nationwide median sales price," explains Daren Blomquist, vice president of RealtyTrac.

"The nationwide home price increase, however, masks slowing home price appreciation in the majority of housing markets across the country. This slowing appreciation was expected and provides another sign that the real estate recovery thus far is behaving rationally. Still, the housing market is entering a dicey transition phase where it is becoming much more reliant on first-time homebuyers and move-up buyers to sustain the recovery as investor involvement wanes."

US residential properties sold at an estimated annual pace of 4,634,513 in July, down 3 perc ent from the previous month and down 12 per cent from a year ago — the third consecutive month of year-on-year falls.