Case Shiller just released its latest report on the state of the residential estate market. The good news is that home prices are falling more slowly. The bad news is that that we have a little ways to go.
What the Numbers Show:
• Through August, 2009, the price of an average home sold in the US fell approximately 13 percent, year over year, from 2008 levels.
• Home prices have now dropped to 2003 valuation levels, wiping out 6 years of home appreciation.
• Since the peak in 2006, average home prices are down 33 percent.
What Do the Numbers Say About the Future??
• Prediction: The “average” home price will likely fall more than 13 percent by year end. Reason: Home prices are always at their highest in the spring and summer. Families move during this time of year and they buy the largest, most expensive properties. As a result, Summer home sales skew the “average” price upward in the fall, but only temporarily.
• Prediction: Home Sales will suffer a downturn due to the expiration of the $8000 First Time Buyer’s Credit. So far this year, 350,000 buyers have been persuaded to purchase because of this incentive.
All in the Day of a Realtor- Real Estate Happenings in Salt Lake City and Beyond...
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