Are Home Prices Really Double in Sacramento?

Elizabeth, we have seen increases in some areas that is kind of surprising in the Denver Metro area.  But then again, our home inventory is around 6,700 which is about the lowest it has been in 25 years.

Excellent point Elizabeth that market and appraisal pricing are often NOT the same. You never REALLY know till it goes on the market what will happen.

With pie in the sky dreams like that I always think of the Emily Dickinson poem, "Hope is a thing with feathers". That seller's dreams of a home sale have flown out the window.

I suspect we're going to start seeing appraised values coming in lower than the contracted sales price soon.  Demand is very high, supply very low.  That person is expecting their home to double in value should start buying lottery tickets.  Might get better results, and that's not saying much.

As the prices rise so will the appraisals the problem is the appraisals will be behind until the market stabilizes. 

Doubling?  Reminds me of 2005 again...of course the bottom was much lower.  We shall see, right??

Appraisers don't always look at home values with the same inflated exhuberance that some buyers and sellers have.  A market with scarce inventory, like we are currently experiencing, is ripe for a lot of disappointment when those appraisals come in.  When I was out and about yesterday, I noticed an over abundance of lawn signs.  No, they weren't For Sale signs, they were For Rent signs.  Very interesting times!