Special offer

HOME PRICES ARE UP!!

By
Mortgage and Lending with Gateway Funding Diversified Mortgage Services

Consumer confidence is up for the month of August and the average price of homes was surprisingly up for the month of June. The price of a U.S single family home rose in the month of June and was up overall for the second quarter of 2010, according to a report released by The S&P/ Case-Shiller Home Price Indices.  After a home price fall the first quarter of 2010 by 2.8 percent it is great to see an increase in home prices by 4.4 percent the second quarter.  Nationwide home prices are up 3.6 percent from a year ago.  Many economists caution though that the increase seen was a result of the home buyer's tax credit, and prices could likely fall in the months to come.

The S&P/Case-Shiller home price index tracks the value of residential real estate across the nation and of 20 major metropolitan regions. The price of homes across the United State has risen 6 percent since the price bottom dropped in April of 2009, but still remain 28 percent below their peak in 2006. 17 of the 20 major regions showed an increase in home prices for the month June. Chicago, Detroit, and Minneapolis ranked as the top 3 with increases of 2.5 percent. This marks the third month in a row that home prices have increased in the Minneapolis area, but many feel that this trend is about to end as a result of the home buyer's tax credit having come to a close. The three cities that did not see a gain were Seattle and Phoenix were prices remained flat and Las Vegas were prices fell by .06 percent

Posted by

SHAWN B. OLSON

MORTGAGE BANKER/MANAGER

GATEWAY FUNDING DIVERSIFIED MORTGAGE SERVICES L.P.

651-451-2744

WWW.OLSONHOMELOANS.COM

 

Gary & Melynda Wolter, Since 2001, 480-269-1164
ProSmart Realty - Mesa, AZ
Reliable, Premier Personal Service since 2001

Thanks for the market update. Consumer confidence needs to grow - articles like this will help us all!

 

 

Sep 14, 2010 07:03 AM
Mike Carlier
Lakeville, MN
More opinions than you want to hear about.

Shawn, I suspect that the recent increases were the result of the traffic from the tax credit.  Now that the traffic has subsided, there is a likely return to lower prices. 

This is not a scientific observation, but REO property in general seems in much better shape than what I saw a year or more ago.  It looks like banks are putting a little more into getting property ready for market.  That could influence price a little.

Sep 14, 2010 07:11 AM