U.S. home values showed little monthly appreciation in August, gaining 0.1% from July, according to the Zillow Home Value Index.
On a year-over-year basis, home values fell 4.5% to an average $172,600. Home values have fallen 28.3% since their peak in June 2006.
Regionally, 68 of the 157 metropolitan statistical areas (MSAs) covered by Zillow experienced monthly home value appreciation, though minimal in many areas.
Two particularly hard-hit markets, Detroit and Ft. Myers, Fla., have now seen five and nine consecutive months of appreciation, respectively, Zillow notes. Seventy-four markets saw home value depreciation, and 15 markets, including Los Angeles; Dallas; and Miami-Ft. Lauderdale, Fla., remained flat.
The foreclosure liquidation rate, which measures the number of homes lost to the bank, held steady at around 9.2 out of every 10,000 homes foreclosed in August – down from the rate of 10.9 out of every 10,000 homes in October 2010, before the robo-signing lawsuits slowed the pace of foreclosures in most states.
‘Due to the robo-signing controversy, the pace of foreclosure liquidations has been slower than it would be otherwise, which is impacting home value trends positively," says Zillow Chief Economist Stan Humphries. "Eventually, the pace will pick up again, putting more bank-owned homes into local markets and putting additional downward pressure on prices."
Zillow maintains its prediction that a definitive market bottom will not happen until next year at the earliest, Humphries says.