Where The Housing Bust Is Finally Ending

Home values are rising again in a handful of lucky cities.

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A buzzer won't go off when it happens, but 2011 could be the year that the housing bust officially ends. Nationwide, prices have fallen by about 30 percent since the peak in 2006, and Moody's Analytics thinks they could fall another 5 percent or so in 2011.

[See 15 cities where the housing bust is still doing damage.]

But improvements in the overall economy will lift the housing market sooner or later, with many buyers who have been sitting on the sidelines finally deciding to take the plunge. In a few markets, that already appears to be happening. Here are 15 metro areas where research firm Fiserv expects home values to rise by the most in 2011 and 2012:

  Price change in 2011 Price change in 2012
Bremerton, Wash. 5.1% 11.2%
Utica, N.Y. 3.3% 3.2%
Rochester, N.Y. 2.9% 2.4%
Spokane, Wash. 2.8% 7.3%
Bellingham, Wash. 2.8% 6.2%
Memphis 2.5% 5.0%
Great Falls, Mont. 2.1% 2.8%
Madera, Calif. 1.7% 8.9%
Cheyenne, Wyo. 1.6% 2.7%
Anchorage 1.3% 4.1%
Burlington, N.C. 1.2% 2.7%
Mobile, Ala. 0.9% 3.5%
Kennewick, Wash. 0.7% 3.9%
Grand Junction, Colo. 0.7% 6.5%
Fairbanks, Alaska 0.7% 2.2%

Note: Forecasts are for a median-priced, single-family home, from third quarter to third quarter.

Twitter: @rickjnewman