Case Shiller and Fiserv create forecasts for the real estate market that say how much they think housing values will go up/down in the future.
Bloomberg Businessweek published an article on the strongest forecasted housing markets for each state. The data is for the forecast of the market in 2014. So its basically their educated guess on what percent housing prices have gone up by in 2014. They have each state in a slideshow presentation so you can click through them alphabetically one at a time.
Below is the list of the city in each state with the highest forecasted 4 year price gain.
|State||City||% gain by 2014|
|New Mexico||Santa Fe||25.8%|
|New York||Glens Falls||16.9%|
|North Dakota||Grand Forks||8.1%|
|South Dakota||Sioux falls||8.9%|
If the numbers seem high to you then keep in mind this is the forecasted increase by 2014. So thats 4 years worth of gains. 12.5% increase over 4 years would amount to an annual rate of 3%. 18 states are below that rate. At the highest 44.7% in Bremerton, WA that is an annual rate of 9.5%. The median of the figures given is 15.8% which amounts to about 3.7% annual increase. But then again this is the list of the BEST market in each state so its skewed high and not the average for the nation.
Good news: Every state has markets going up and none of these markets is expected to see declines.
Great news: Some areas will see very strong growth like Bremerton, WA, Bend, OR, Carson City, NV and Detroit MI.
Bad news: Many areas are still looking at pretty slow growth which isn't enough to keep on par with historical 3% inflation rates.
Keep in mind that these are of course just forecasts and that its only their educated opinion. The actual numbers could turn out much higher or lower. Only time will tell.