SEATTLE, Jan. 17, 2020 /PRNewswire/ -- The total
value of every home in the U.S. is $33.6
trillion, nearly as much as the GDP of the two largest
global economies combined -- the U.S. ($20.5
trillion) and China
($13.6 trillion) -- according to a
new Zillow® analysis.
Since 2010, when the market was battling to regain its footing
in the wake of one of the largest housing downturns on record, the
national housing market added $11.3
trillion in value -- a more than 50% increase. About 14% of
that gain was from new stock entering the market, with the
remainder from increased values of the existing stock, underlining
just how much home values rose during last decade's recovery and
then explosion.
California lives up to its
Golden State nickname, making up a whopping 21.2% of the nation's
housing value with 12% of the populationi. To put that
into context, the next most populous state, Texas, makes up 8.8% of the U.S. population,
but only 5.9% of the country's housing value. To exceed the
$7.1 trillion worth of homes in
California, you'd need to combine
the next four states on the list -- New
York ($2.7 trillion),
Florida ($2
trillion), Texas
($2 trillion) and Washington ($1.1
trillion).
With $66 billion each,
North Dakota and Wyoming have the smallest shares of the U.S.
housing market.
At a more local level, three metros are beyond the
trillion-dollar barrier -- New
York ($3.2 trillion)
Los Angeles ($2.5 trillion) and San
Francisco ($1.6 trillion).
Los Angeles was the only market to
add more than a trillion dollars of housing during the 2010s,
adding $1.1 trillion. Three of the
five metros that gained the most value were in California, as San
Francisco ($827 billion),
New York ($657 billion), San
Jose ($360 billion) and
Seattle ($356 billion) followed Los Angeles at the top.
While California cast the
biggest shadow in the nation's housing growth for most of the
decade, more recent trends paint a different picture. The typical
home value in California was
growing at more than 20% annually for a period between the end of
2013 and early 2014, an incredibly rapid pace, but one that is also
unsustainable. By the end of the decade, annual appreciation in
California had slowed to less than
2%, allowing Texas to surpass it
as the top contributor to the growth in value of the U.S. housing
stock -- total housing in Texas
grew $89 billion over 2019, compared
to $77 billion in
California.
At the metro level, Washington,
D.C. ($38 billion),
Phoenix ($30 billion) and Seattle ($30
billion) have added the most value since the end of 2018.
Two large metros lost value over this period -- San Jose, down $49
billion, and New York, down
$46 billion.
"In 2010, Americans were grappling with falling home values,
unsold subdivisions, and sky-high foreclosure rates, while
policymakers were working to stimulate demand," said Zillow
Economist Jeff Tucker. "A decade
later, we're facing a very different set of challenges, as a
persistent shortage of new homes and starter homes has kept home
prices rising out of reach for many would-be first-time home
buyers. More and more of the nation's wealth is now tied up in our
homes, as workers in some of the world's most economically
productive cities, such as San
Francisco, San Jose and
Seattle, have raced to get a
foothold in homeownership there, driving up prices with their
fierce competition. Most of this growth has come from rising prices
for the same homes, not from actually building more homes, a
troubling trend when it comes to affordability."
In the vast majority of the country, home value appreciation
accounted for most of the growth in the total value of the housing
stock last decade, including 86% of the growth nationally. However,
two fast-growing markets, Charlotte and Austin, saw a greater share of growth come
from new homes. That's not to say that home value growth was slow
in these markets -- home values have outpaced the national
average in both Charlotte and
Austin since 2010 -- but the rate
of new construction has been so great as to exceed that
growth.
Metro
Area
|
Total Market
Value (Billions)
|
Share of National
Value
|
Growth in 2010s
(Billions)
|
Growth in 2019
(Billions)
|
United
States
|
$33,608
|
100.0%
|
$11,336
|
$1,105
|
New York,
NY
|
$3,179
|
9.5%
|
$657
|
-$46
|
Los Angeles-Long
Beach-Anaheim, CA
|
$2,539
|
7.6%
|
$1,065
|
$29
|
Chicago,
IL
|
$817
|
2.4%
|
$110
|
$14
|
Dallas-Fort Worth,
TX
|
$589
|
1.8%
|
$294
|
$23
|
Philadelphia,
PA
|
$578
|
1.7%
|
$84
|
$22
|
Houston,
TX
|
$481
|
1.4%
|
$221
|
$20
|
Washington,
DC
|
$903
|
2.7%
|
$274
|
$38
|
Miami-Fort
Lauderdale, FL
|
$658
|
2.0%
|
$269
|
$8
|
Atlanta,
GA
|
$508
|
1.5%
|
$198
|
$20
|
Boston, MA
|
$845
|
2.5%
|
$294
|
$10
|
San Francisco,
CA
|
$1,645
|
4.9%
|
$827
|
$3
|
Detroit,
MI
|
$314
|
0.9%
|
$142
|
$9
|
Riverside,
CA
|
$506
|
1.5%
|
$246
|
$17
|
Phoenix,
AZ
|
$488
|
1.5%
|
$237
|
$30
|
Seattle,
WA
|
$745
|
2.2%
|
$356
|
$30
|
Minneapolis-St Paul,
MN
|
$363
|
1.1%
|
$118
|
$11
|
San Diego,
CA
|
$587
|
1.7%
|
$233
|
$8
|
St. Louis,
MO
|
$212
|
0.6%
|
$40
|
$6
|
Tampa, FL
|
$266
|
0.8%
|
$111
|
$9
|
Baltimore,
MD
|
$289
|
0.9%
|
$22
|
$1
|
Denver, CO
|
$428
|
1.3%
|
$212
|
$9
|
Pittsburgh,
PA
|
$182
|
0.5%
|
$60
|
$11
|
Portland,
OR
|
$332
|
1.0%
|
$134
|
$2
|
Charlotte,
NC
|
$228
|
0.7%
|
$119
|
$15
|
Sacramento,
CA
|
$338
|
1.0%
|
$156
|
$16
|
San Antonio,
TX
|
$161
|
0.5%
|
$70
|
$9
|
Orlando,
FL
|
$221
|
0.7%
|
$110
|
$14
|
Cincinnati,
OH
|
$157
|
0.5%
|
$42
|
$8
|
Cleveland,
OH
|
$138
|
0.4%
|
$29
|
$6
|
Kansas City,
MO
|
$168
|
0.5%
|
$54
|
$6
|
Las Vegas,
NV
|
$209
|
0.6%
|
$111
|
$2
|
Columbus,
OH
|
$159
|
0.5%
|
$61
|
$7
|
Indianapolis,
IN
|
$141
|
0.4%
|
$55
|
$6
|
San Jose,
CA
|
$688
|
2.0%
|
$360
|
-$49
|
Austin, TX
|
$252
|
0.7%
|
$141
|
$22
|
About Zillow
Zillow® is transforming how people buy, sell, rent and finance
homes by creating seamless real estate transactions for today's
on-demand consumer. Zillow is the leading real estate and rental
marketplace and a trusted source for data, inspiration and
knowledge among both consumers and real estate
professionals.
Zillow's proprietary data, technology and industry partnerships
put Zillow at nearly every major point of the home shopping
experience, helping consumers search for and get into their new
home faster. Zillow now offers a fully integrated home shopping
experience that includes access to for sale and rental listings,
Zillow Offers®, which provides a new, hassle-free way to buy and
sell eligible homes directly through Zillow; and Zillow Home Loans,
Zillow's affiliated lender that provides an easy way to receive
mortgage pre-approvals and financing. Zillow Premier Agent
instantly connects buyers and sellers with its network of real
estate professionals to help guide them through the home shopping
process. For renters, Zillow's innovations are streamlining the way
people search, tour, apply and pay rent for leased
properties.
In addition to Zillow.com, Zillow operates the most popular
suite of mobile real estate apps, with more than two dozen apps
across all major platforms. Launched in 2006, Zillow is owned and
operated by Zillow Group, Inc. (NASDAQ:Z and ZG) and headquartered
in Seattle.
Zillow and Zillow Offers are registered trademarks of Zillow,
Inc.
i U.S. Census population estimates:
https://www.census.gov/data/tables/time-series/demo/popest/2010s-state-total.html#par_textimage_1574439295
View original
content:http://www.prnewswire.com/news-releases/recovery-added-11-3-trillion-to-us-housing-value-in-the-2010s-300988727.html
SOURCE Zillow