After controlling for inflation, though, home prices are 20 percent lower than in 2006
The S&P/Case-Shiller National Home Price Index posted a 5.5 percent year-over-year increase in September, the 53rd month in a row with gains.
Trulia reports that home prices have surpassed the pre-recession peak reached in 2006, which elicits mixed reactions. Homeowners are glad that they are no longer underwater, but homebuyers are seeing house prices outpace incomes in many places around the country.
Even then, after adjusting for inflation, home prices are actually 20 percent lower than they were in 2006, as Trulia explains.
Furthermore, the U.S. housing market recovery has been both limited and uneven. Just seven metros – Dallas, Fort Worth, Houston, Denver, Nashville, Pittsburgh, Tulsa, and San Francisco – have seen prices of starter homes, tradeup homes, and premium homes surpass their pre-recession peaks.