Dive Brief:
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The combined value of all U.S. homes—$27.5 trillion—is 6.7% higher than it was last year, Zillow reported on Monday.
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In 2013, that value rose by 8% over 2012. The reason for the slowdown, Zillow Chief Economist Stan Humphries said, is a reaction to growing inventory on the market, which tempers home appreciation.
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Home values in Miami grew more than in any other city this year, the report showed. Close behind were Atlanta, Houston, Orlando, and Las Vegas. In every major U.S. city, home values are higher than a year ago.
Dive Insight:
After losing $6.1 trillion in value between 2006 and 2011, a one-year gain of more than $1 trillion positions housing to continue to grow steadily next year. Humphries noted that as it does, the ripple effect of more jobs for contractors and more sales of appliances and furniture will boost housing’s impact on the overall economy.