How Housing Prices Have Changed Ten Years After The Real Estate Bubble Burst

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The job market is thriving, the stock market is performing well, and the haunting memories of the Great Recession are gradually receding. However, despite the overall economic growth, not everyone is reaping its benefits, particularly evident in the housing sector. Surprisingly, recent data from the U.S. Census Bureau’s American Community Survey for both 2007 and 2017 reveals that many states are still struggling to fully recover from the housing market downturn. In several regions across the country, the housing market has yet to surpass its 2007 levels.

The maps below, created by the howmuch.net team, show the median housing values of each state in 2007 and 2017.

These maps offer a convenient means to swiftly observe a snapshot of the housing market both before and after the Great Recession. The initial image from 2007 presents median home values in a heat map, while the second image depicts prices as of 2017, along with the percentage change in value from a decade earlier. In 2008 and 2009, housing prices experienced a decline in nearly every region across the country.

Pre-bubble, the most affordable housing market was in the central U.S., between the costly West and East Coast. Housing prices, ranging from $106,800 in North Dakota to $120,900 in Texas, were relatively inexpensive. California stood out as the priciest mainland state, with a typical house costing $532,300. The Northeast, centered around New York, housed another cluster of expensive states, while the Upper Midwest around the Great Lakes region fell in between these extremes.

North Dakota (+82.3%), Colorado (+49.2%) and Texas (+42.4%) are among the few states that have seen a much more dramatic increase in housing prices. The median home values of states like Nevada (-17.1%), Rhode Island (-12.0%) and Connecticut (-11.7%) are still lower than they were before the real estate bubble burst.

State	Median house value, 2017 ($)	Median house value, 2007 ($)	Percentage change
NORTH DAKOTA	194700	106800	82.3
COLORADO	348900	233900	49.2
TEXAS	172200	120900	42.4
SOUTH DAKOTA	167600	118700	41.2
MONTANA	231300	170000	36.1
DISTRICT OF COLUMBIA	607200	450900	34.7
OKLAHOMA	137400	103000	33.4
LOUISIANA	162500	126800	28.2
TENNESSEE	167500	130800	28.1
NEBRASKA	155800	122200	27.5
ARKANSAS	128500	101000	27.2
IOWA	149100	117900	26.5
UTAH	275100	218700	25.8
MISSISSIPPI	120200	96000	25.2
WEST VIRGINIA	119800	96000	24.8
WYOMING	214300	172300	24.4
KANSAS	150600	121200	24.3
OREGON	319200	257300	24.1
KENTUCKY	141000	114300	23.4
ALABAMA	141300	115600	22.2
SOUTH CAROLINA	161800	133900	20.8
ALASKA	273100	231300	18.1
NORTH CAROLINA	171200	145700	17.5
PENNSYLVANIA	181200	155000	16.9
IDAHO	207100	178100	16.3
INDIANA	141100	122900	14.8
MISSOURI	156700	138600	13.1
WASHINGTON	339000	300800	12.7
HAWAII	617400	555400	11.2
VERMONT	226300	205400	10.2
NEW MEXICO	171300	155400	10.2
MAINE	191200	176000	8.6
WISCONSIN	178900	168800	6
GEORGIA	173700	164500	5.6
DELAWARE	252800	239700	5.5
PURTO RICO	109800	104400	5.2
MASSACHUSETTS	385400	366400	5.2
MINNESOTA	224000	213600	4.9
OHIO	144200	137800	4.6
VIRGINIA	273400	262100	4.3
MICHIGAN	155700	153100	1.7
NEW YORK	314500	311000	1.1
NEW HAMPSHIRE	263600	261800	0.7
CALIFORNIA	509400	532300	-4.3
ARIZONA	223400	237700	-6
ILLINOIS	195300	208800	-6.5
FLORIDA	214000	230400	-7.1
MARYLAND	312500	347000	-9.9
NEW JERSEY	334900	372300	-10
CONNECTICUT	273100	309200	-11.7
RHODE ISLAND	257800	292800	-12
NEVADA	258200	311300	-17.1

In total, median house prices now surpass 2007 levels in 41 states and Washington, DC. However, a closer look at the map reveals underwhelming growth, with 22 states seeing values increase by 20% or less over 10 years. Some areas experienced significant surges, such as North Dakota (+82.3%), Colorado (+49.2%), and Texas (+42.4%), driven by factors like shale fracking and population influx.

Yet, not all states share this positive trend. Nevada stands out, with median home values still 17.1% lower than pre-recession levels. Las Vegas, in particular, lacks appeal for both millennials and retiring baby boomers. Rhode Island (-12.0%), Connecticut (-11.7%), and New Jersey (-10.0%) also remain below their pre-recession levels.