San Jose, California led 119 of the 340 metro housing markets nationwide in returning to or exceeding their last normal levels of economic and housing activity in Q1 2016. The markets are gauged by measuring the averages of housing permits, price and employment levels for the past 12 months, and divide each by their annual average over the last period of normal growth.

As pleasantonweekly tells MHProNews, the National Association of Home Builders/First American Leading Markets Index (LMI) indicates that 45 markets experienced a year-over-year net gain. The index’s score hit .95, which means the housing market is operating at 95 percent of normal housing and economic activity.

“Housing markets continue to recover gradually, edging along by a firming economy, solid job creation and low mortgage interest rates,” said NAHB Chairman Ed Brady. “We expect the housing sector to improve at a slow, but steady pace throughout the year.” At 49 percent of normal activity, single-family permits are pulling done the numbers.

“More than 80% of all metros saw their Leading Markets Index increase or hold steady over the quarter, an important sign that the housing market is heading in the right direction,” said Kurt Pfotenhauer, vice chairman of First American Title Insurance Company.

The years 2000-2003 were used as the last normal period for single-family permits and home prices, and 2007 as the base for the employment figures.

The remainder f the top ten: Baton Rouge, LA, Austin, TX, Honolulu and Houston. The last five are Oklahoma City, Los Angeles, Nashville, Charleston, SC and Salt Lake City. ##

(Image credit: housingwire–housing market slowly gaining)

Article submitted by Matthew J. Silver to Daily Business News-MHProNews.