PHOENIX - U.S. home prices are rising at the fastest pace we've seen since 2005. A new home price index shows prices jumped nearly 15% in April compared to previous years.
Prices are rising so dramatically that home sales are starting to slow down because would-be buyers can't afford to pay these prices.
For the 23rd month in a row, the Phoenix metro area is the hottest housing market in the country, showing a year over year increase of 22.3%.
With those high prices, it's a tough housing market for buyers these days. A couple from Ohio is struggling to make Phoenix their home.
Nick Gibson and his wife moved to Phoenix with the hopes of finding a home.
"First weekend in May, we packed up the car.. and drove her two dogs across the country. We got here knowing we wanted to buy a house. We have been renting in Columbus for about 10 years," he said.
They expected to buy within four weeks, but it's now been eight and their Airbnb stay ends soon.
"I don't think we knew what we were getting into in terms of the competitive market," he said.
They found a home to fix up, so they put an offer in, only to find out the inspection uncovered many repairs.
"That's why it's so important still to do inspections," said the Gibson's broker, Aaron Carter of the Carter Mosier Group at Home Smart.
Carter says keep these tips in mind while on your home search.
"Really stay true to your core goals, revisit those every couple of weeks and make sure you are not shifting or moving."
Make a list of must haves and stick to it.
"A renovated kitchen, tall ceilings.. I'm a tall guy, so that's definitely a factor in our home buying journey," said Gibson.
"It's really important to see homes. Go to every home you think meets the numbers," said Carter.
And most importantly, try to have fun and remain hopeful.
More real estate news
- Home prices surge by most on record
- Sales of new US homes fell 5.9% in April in wake of soaring house prices in March
- US housing market booms as buyers enter bidding wars amid low supply
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