#6: Los Angeles
No matter how you slice it, things are moving up in Los Angeles. The city’s 14.1% year-over-year increase in home prices was 2 percentage points better than January’s climb.
Things got sweeter month-over-month as well. Prices gained 1% from January to February — the third highest gain out of all 20 cities and slightly better than the 0.9% increase from December to January.
Many don’t think L.A.’s big gains are a good thing, though. The Los Angeles Times reported that the city’s rising prices are making “it more prone to a new housing bubble than many other major cities,” since the prices are rising significantly faster than income.
Others are referring to the nation’s second most-expensive market as approaching a mini-bubble.