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  dhouse prices, 1975-2014
Sources: House Price Index for the United States - Federal Reserve Economic Data (FRED)

In 1950, the median home price was just $7,354. It peakat at $227,100 in 2006.
The 1950 price in inflation-adjusted dollars was $44,600.

What's the reason for the dramatic increase? More Home Means More Money One driver of home prices is size. In 1950, the average home size was less than 1,000 square feet with two bedrooms and one bath. By 1970, the average home was 1,500 square feet and included a third bedroom and another half-bath.

When home prices peaked, the average home was two stories and 2,500 square feet with two and a half baths and a two-car garage.

Year sq ft price $/sq ft
1950 1000 $7,354.00 $7.35
1970 1500 $17,002.00 $11.33
2006 2500 $227,100.00 $90.84
Price per Square Ft increased an average of 4.6%/year from 1950 to 2006
Note: price per Sq. Ft. is over $200 in major metropolitan areas.
Source: 60 Years of Home Prices: The Difference Will Shock You - daveramsey.com


Census Bureau data Monthly Data


On an inflation-adjusted basis, we're actually paying slightly less today than the cost per square foot in 1973. Overall, the increasing size, improving quality, and relative affordability of new homes today means that living standards continue to gradually, but consistently, improve year after year for most Americans.
Price per Square Ft increased an average of 4.2%/year from 1973 to 2013
Source: Today's new homes are 1,000 square feet larger than in 1973, and the living space per person has doubled over last 40 years | Mark J. Perry, American Enterprise Institute (AEI)


Source: Historic Mortgage Rates | MortgageNewsDaily


Real Estate Investing:
The FTSE NAREIT US Real Estate Index Series is designed to present investors with a comprehensive family of REIT performance indexes that spans the commercial real estate space across the U.S. economy.

Income property vs Stocks:
Is it Better to Invest Money in Real Estate or the Stock Market? - Invest Four More
Which Is A Better Investment: Real Estate Or Stocks? | Financial Samurai


Links:
Average 30 Year Fixed Mortgage Rates | MortgageNewsDaily.com
Historical Census of Housing Tables Home Values - Housing Topics by state 1940 - 2000 - U.S. Census Bureau
Median and Average Sales Prices of New Homes Sold in United States 1963 - 2010 | Census Bureau
House Price Index for the United States - Federal Reserve Economic Data (FRED)
Compare cost of living, crime, cities, schools and more. Sperling's BestPlaces
House Price Index Datasets | Federal Housing Finance Agency (FHFA)
House Price Index for the United States - FRED
Understanding Recent Trends in House Prices and Home Ownership., 2007
Historical Census of Housing Tables Home Values - by State - U.S. Census Bureau

last updated 4 May 2015