Minneapolis made the NAHB Improving Markets Index. I didn’t think we would get there until later this spring. We were among 40 Cities to make the list for January.
The number of housing markets showing measurable improvement nearly doubled in January with the addition of 40 new metros to the National Association of Home Builders/First American Improving Markets Index (IMI), released today. The IMI now boasts 76 improving markets, up from 41 in December, with 31 states and the District of Columbia represented by at least one entry.
The index identifies metropolitan areas that have shown improvement from their respective troughs in housing permits, employment and house prices for at least six consecutive months.
NAHB/First American Improving Markets Index (IMI)
What is the criteria to make the list?
The IMI is designed to track housing markets throughout the country that are showing signs of improving economic health. The index measures three sets of independent monthly data to get a mark on the top improving Metropolitan Statistical Areas. The three indicators that are analyzed are employment growth from the Bureau of Labor Statistics, house price appreciation from Freddie Mac, and single-family housing permit growth from the U.S. Census Bureau. NAHB uses the latest available data from these sources to generate a list of improving markets. A metropolitan area must see improvement in all three areas for at least six months following their respective troughs before being included on the improving markets list.
Below is a Map of the Cities on the NAHB’s Improving Markets Index (IMI): (interactive map)
View NAHB Improving Market Index, IMI in a larger map
Congratulations Minneapolis/St Paul. Now lets keep our fingers crossed that the economic conditions continue to improve and that we avoid a market change from Shadow Inventory. I am a little cautious that we may drop back off this list, this has been happening with other Cities on this index throughout the year. A city will make the list and then fall off the list in a month or two…
- “Improving Markets” Nearly Double in January (mortgagenewsdaily.com)
- Improving Markets Index Almost Doubled in Ranks in January (builderonline.com)
- NAHB Improving Market Index, IMI, December 2011 (craigkamman.com)
- Improving Markets Index: Bismarck, ND MSA (eyeonhousing.wordpress.com)