Tuesday, May 27, 2008
Home Prices Down, But Less Than Half the National Average
Statistics show that home prices in Atlanta fell 6.5% from prices a year ago, while nationally the decline was over 14%. Several other metropolitan areas have seen home prices fall more than 20% over the past year. Foreclosures, however, continue to exert a downward pull on prices.
The housing market will stabilize only when the number of new foreclosures declines significantly and banks liquidate their inventory of foreclosed homes. Unfortunately, neither of these prec0nditions will occur in the near future.
There is good news, however, for those who relocate within the same metropolitan area. The reduction in prices works for buyers even as it works against sellers. If you both sell and buy in the same area, the bottom line is the same regardless of the current market. Even if you get less than you want for your existing house, you will be able to get more than you expect when you buy. Just be sure to take care of the sell side before buying. Even a great buy becomes a burden if you are unable to sell your existing home.
The housing market will stabilize only when the number of new foreclosures declines significantly and banks liquidate their inventory of foreclosed homes. Unfortunately, neither of these prec0nditions will occur in the near future.
There is good news, however, for those who relocate within the same metropolitan area. The reduction in prices works for buyers even as it works against sellers. If you both sell and buy in the same area, the bottom line is the same regardless of the current market. Even if you get less than you want for your existing house, you will be able to get more than you expect when you buy. Just be sure to take care of the sell side before buying. Even a great buy becomes a burden if you are unable to sell your existing home.
# posted by Bob @ 5:04 PM 
