Love 'em or hate 'em, it was hard to miss the "Boy Band" chapter in pop music that began in the late '90's. Bands like *NSync and The Backstreet Boys dominated the music charts -- and the daydreams -- of countless 'tweens.'
One inescapable tune was *NSync's "Bye Bye Bye," so catchy was it that even a fast-approaching middle-age gal like me couldn't help but belt out it's infectious refrain (in the privacy of my own car when I was sure no one was looking, of course.)
Fast forward nine years, and as I do an analysis of Fannin County real estate for 2008l, I find the tune echoing in my head yet again, only this time with a twist: "Buy Buy Buy!"
The year showed an overall 18% decline in home prices over 2007's sales. Foreclosures are on the rise and home sellers are finally realizing that they need to come to terms with what the market is saying loud and clear: LOWER YOUR ASKING PRICE! These things, coupled with mortgage rates that are still at historic lows, mean that this is an incredible time of opportunity for home buyers.
|
1/1/07 - 12/31/07 |
1/1/08 - 12/31/08 |
Variation |
Total Units Sold |
409 |
343 |
-16% |
Avg. Days on Market |
130 |
124 |
-5% |
Sold Price |
|
|
|
Average |
$313,222 |
$256,373 |
-18% |
Median |
$270,000 |
$221,800 |
-18% |
Total Volume |
$128,148,598 |
$87,935,891 |
-31% |
|
December 2007 |
December 2008 |
Variation |
Total Units Sold |
31 |
30 |
0 |
Avg. Days on Market |
145 |
135 |
-7% |
Sold Price |
|
|
|
Average |
$313,683 |
$345,427 |
10% |
Highest |
$290,000 |
$212,500 |
-27% |
Total Volume |
$9,724,165 |
$10,362,800 |
7% |
There is no telling how much longer it will take the real estate market to rebound. Fingers crossed, the $819 billion stimulus package that was approved by the House today will also be passed by the Senate -- with some tweaking, of course -- and may be on President Obama's desk as early as February 13.
The Fed, in addition to leaving its key interest rate at essentially zero percent, has signaled that it is willing to act more aggressively in providing relief to a market that has been knocked to the canvas. It is considering purchasing more mortgage-backed securities and long-term government bonds, which would help drive down interest rates on consumer loans.
What these measures add up to is an economy that may have yet have a fighting chance for a comeback in 2009, and increased market demand for consumer products like cars and houses. And with an increase in demand comes an increase in prices.
So, my advice is to make like a boy band and "Buy Buy Buy," now now now.
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