Home values nearly doubled across the Sacramento region in the last six years, but the vast majority of homes are still worth less than they were during the peak of the housing boom, according to new research from tracking firm Zillow.com.
During the pre-recession housing boom, home values hit their highest point nationwide around June 2006. The subsequent bust pushed housing prices lower. Most homes nationwide are worth more today than in June 2006, according to Zillow.
But not in Sacramento, which saw a massive housing boom and huge corresponding bust.
About 80 percent of homes in the Sacramento region are worth less today than in June 2006, according to Zillow. The tracking firm’s home value estimates aren’t adjusted for inflation, so an even higher proportion of homes are, in current dollars, worth less today than in 2006.
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Florin, Woodland, Rio Linda and South Lake Tahoe are the four local communities with the widest gaps between their median home values in June 2006 and their median values in June 2018.
Four local communities — all affluent suburbs — have beat the local trend. Davis, Folsom, El Dorado Hills and Granite Bay have all exceeded peak home values from 2006. Two more communities, Lincoln and Shingle Springs, have virtually tied the milestone.
Phillip Reese is a Bee data specialist and teaches at Sacramento State: 916-321-1137.