More metros showing improvement in housing markets

The number of metropolitan housing markets showing improvement grew by 19 in September, as the sector continues making a gradual recovery.

All told, 99 markets reported longer-term progress, up from 80 metros in August, including cities in 33 states and the District of Columbia, according to the National Association of Home Builders index tracking the changes released Monday.

"More metros across the country are experiencing a sustained uptick in house prices, employment and new building activity as rising consumer confidence in local market conditions pushes more people to consider a new-home purchase," said David Crowe, NAHB's chief economist. 

"That said, overly tight lending conditions for builders and buyers continue to slow this process considerably."

Markets added to the list in September include Tucson, Ariz.; Jacksonville, Fla.; Springfield, Ill.; Greenville, N.C.; and Bend, Ore.

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. 

"Combined with recent positive reports on builder confidence, housing starts and new-home sales, the September IMI adds to the growing consensus that housing is finally moving in the right direction, which in turn is spurring more potential buyers to get off the fence," said Kurt Pfotenhauer, vice chairman at First American Title Insurance Company, which produces the index with the NAHB.