Home Sales Declining but Better than Expected

By
Real Estate Agent with Adams, Cameron & Co. Realtors

I'm still trying to determine if I'm encouraged by the latest news from the Commerce Department that homes ales declined 0.6 per cent last month. The report states that the decline is less than half of what had been predicted. That sounds encouraging but makes me worry that July and August will come in week. Certainly I'm hopeful that we're seeing a reversal but I'm not so naive to stake my expectations on one month.

I like to put in light, however, of what we're seeing in our local market. We're starting to see the number of units moving picking up. At the same time, the trend that includes the true deals selling seems to also be increasing. The result of foreclosed or financially stressed homes in the market has been a continued price decline. Further, we're seeing that price decline accelerate. I don't necessarilly see that as a bad trend as we have long had too much inventory on the market and economic forces must eventually win over.

Ultimately, when I look at the information, our prices are currently in line with where we were before the huge price leaps of 2004, 2005, and even 2006 (when prices were going up while transactions were dropping off). Ultimately, if the pricing trend continues much longer, there will be investor steal showing up more and more frequently.

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Location:
Florida
Tags:
price correction

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Rainer
16,357
jp endres-fein
Better Homes and Gardens Rand Realty - Scarsdale, NY

ITS A GREAT TIME TO BUY......   go on to NAR website and read the info thay have for us now.  Although the press reports about national information..... EVERY MARKET IS DIFFERENT.  Real estate markets are local.  go to www.realtor.org/store to see the product broochure titled...ITS A GREAT TIME TO BUY

Jul 31, 2008 06:44 AM #1
Rainmaker
595,326
Lisa Hill
Florida Property Experts - Daytona Beach, FL
Daytona Beach Real Estate

Holy crap! You blogged! LOL And I've noticed an increase too. Thank God! And the charts I created for the 2nd quarter show that there are certain cities where the increase is more prominent. And yay for me! Port Orange is one of them! I guess that explains my sale last week.

Jul 31, 2008 04:37 PM #2
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainer
85,646

John Adams

Ask me a question
*
*
*
*
Spam prevention

Additional Information