Posted on 02/27/2006 11:39:57 AM PST by iPod Shuffle
GREAT NOW I CAN LOOK FOR A SECOND HOME ON THE WATER, LIFE IS GOOD FOR SOME THEY SAY
There's a long way to go to get to a real housing decline. In Houston in the early 80's, entire blocks would have every home for sale, many on the market for 4-5 years.
But despite that, they didn't radically go down in price. Maybe 10%. The fact is that mortgage holders won't pay someone to take their house (they'll walk away first). And lenders with forclosed homes won't sell for less than they have in it either, because they weren't looking to get their money back for 30 years in the first place, so a year or three isn't a big price to pay to avoid crashing the market and losing even that.
Yeah, prices won't go up this year. But you'll be waiting a long time to find a real steal. Even then it will be about the same price as you could have paid in June '05 and you'll think it's a great price.
Maricopa county real estate is forecast to increase in price 3.3% this year after last years 45% run up. There are a "normal" number of houses for sale in Fountain Hills where I am, after practically nothing for sale this time last year. And that's after plenty of new construction.
I'm curious is this is a seasonal drop that occurs every winter due to the weather.
I don't know how they figure to sell at 500k when you can rent the same condo for around $1500 a month. (check out Craigslist rental listings).
You are right, to an extent. What has changed is all the interest only loans and arms are going to cause IMHO a real drop in some market. I live in Pasaden TX, and I figure I will be able to pick up a house for about 90 to 95 cents on the dollar in a few years as arms go up forcing people either out or to seel for near what they owe.
We are moving to Dallas area in 2 years and my husband an I are going to do the same thing...looking for a foreclosure.
Seiders predicted that home price gains, which were running around 12 percent last year, will slow to about 6 percent this year.
Bucking the national trend, sales in the West posted an 11.3 percent increase in January after a 6.3 percent gain in December. "
Oh, the horrors, what'll we do, what'll we do!
Well, I live in Arizona too, and I have seen a lot more "for sale" signs up as well.
However, they are going down as fast as they go up. No house around here has remained unsold for more than a month. And every month is still setting new price appreciation records.
A "backlog" of 30,000 homes for sale is not far different from the number of families that will be moving to Arizona this year. I expect a slowdown in the rate of price increses, but no significant rollback.
-ccm
1,233,000 homes sold last month and 528,000 are not sold? Gee......that's a whole 13 days of inventory......look out below!
Lots of homes for sale here, few buyers.
1.2 million is an annual rate. The unsold inventory is about 5 1/2 months of supply - well within the normal range.
This article is garbage. Sales always drop from December to January. Weather, holidays etc etc. Note the article says: "Sales lowest since last January." Well, duh! The year to year sales are about the same and, oh my, prices are up. Yep, that equals a busting bubble. Not!
...and I hope to be at the forclosure auction buying 'alot of house' on the cheap.
Ahhh. Thanks for the clarification.
This is a deceptive statistic. Population is constantly growing. If the rate of unsold homes stayed exactly the same, there would be a constant increase in the "number of unsold homes" just due to increased population. Absolute numbers are meaningless. Rates are important.
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