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22 Cities Where Home Appreciation Is Spiking 22 Cities Where Home Appreciation Is Spiking The annual home value growth rate in these cities is over 10%. Photo by Hurst Photo / Shutterstock.com Extreme demand for homes is pushing home values up at a rate not seen since before the Great Recession, a new Zillow report finds. Several trends including new millennial homebuyers, record-low interest rates, trends related to the coronavirus pandemic and the relatively small pool of homes for sale have converged to heat up the market. The hot sellers’ market is a contrast to flat growth in rental prices nationally, as we reported in “Rent Prices Have Dropped in These 9 Formerly Hot Markets.”

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