The news is in – there are three areas where real estate prices are rising faster than anywhere else in the country. Two of them are no surprise, because their prices fell so low that they had nowhere to go but up, but the third one is surprising to some. Those three areas are Arizona, Florida, and (you didn’t) guess it – Colorado.
These figures were released by CNN Money.
Why are these areas the ones who are most quickly inflating? Because after reaching a floor, investors leap in and start scavenging through homes like vultures. This causes a very sharp drop in the home inventory on the market, with that, supply drops. When supply is low and demand for homes is high, prices raise.