Great post, thanks!
Keeping Current Matters is the blog site of Steve Harney and his terrific real estate data ccollection and analysis team. Last week they published a series of reports and links from major industry analysts. The universal agreement is that home prices will continue to drop over the next six to eight months.
Steve published this chart last week that he says "may be the best real estate chart ever".
Steve's comment on the chart: "We can see that the experts are calling for prices to decline for the next year and then take another year to regain that loss and have values equal today's prices. They then see prices steadily appreciating over the following several years." Simply stated, prices will not recover to their current level until the end of 2012.
One of the sites that I also subscribe to is Altos Research, who had this to say in a report published on August 11:
"The market, right now, is a veritable case study of the law of supply and demand. Right now, there's a whole lot of supply, but very, very little demand. The buyers that drove a flurry of activity during the spring have left a deafening silence in their wake ... Increases in inventory nationwide show that demand simply isn't there. As the market continues to correct itself, and as we head into the seasonally weak fall and winter months, expect more increases in inventory, and likely deepening declines in asking prices."
I the next day or so I will publish the market updates for the areas I cover, including St. Charles, Geneva, Batavia, Wayne, Elburn and South Elgin.
Here's one example of the rising inventory and falling prices in Batavia (zip 60510). The orange line shows the rising inventory, while the black line shows the falling prices.
This post was written by Leslie Ebersole of Baird & Warner Real Estate.
If you would like more information about the Chicago Western Suburbs and the Fox River Valley
St. Charles, Geneva, Batavia, Wayne, Elburn, and South Elgin