In these metro areas, housing prices are rising, and homes with a 'for sale' sign are getting snatched up in no time, according to Realtor.com.
Stockton, Calif., was hit hard by the housing bust, and many people lost their homes to foreclosure.
But now, "[t]he foreclosure pipeline is drying up," said Leslie Appleton-Young, chief economist for the California Association of Realtors.
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While bank-owned properties still account for more than half of all sales, it's a vast improvement from the first years of the bust when they accounted for 80% or more, she said.
The shift means that house hunters won't find quite the bargains of a few years ago, and listing prices are up more than 16% in the past 12 months.
"The market still has a long way to go, but it's healing," she said.
NEXT: San Jose, Calif.