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Home prices rise 5.9% in '12

7:21 PM, Jan. 22, 2013  |  Comments
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NEW YORK - The value of American homes climbed 5.9 percent in 2012, the largest annual gain since the summer of 2006, or near the peak of the housing bubble, according to data released Tuesday by real estate-information provider Zillow Inc.

The jump is roughly double the historical average, which has home values climbing about 3 percent a year, Zillow said.

In 2013, the company forecasts U.S. home values rising 3.3 percent, or more in line with historical norms.

Strong demand coupled with limited inventory bolstered home prices in many markets, with 254, or 69 percent, of the 366 metro areas analyzed showing home-value gains last year.

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