I get asked all the time how the Real Estate market is going. My answer changes, but I find I normally get more information than I really give when I discuss this issue with people. I dont get to determine if we are in a good market or not, the general public does. When people ask me what I think, I ask them the same thing and get a ton of information regarding current opinion.
I also use a website to post short surveys, and review others surveys regarding the real estate market. You must understand its demographic limitations, but it is still a good source of public perception. I posted a recent survey regarding real estate short sales which told me many people dont know what it is.
A recent article on CNN Money shows different estimates for home value growth in various regions of the US. While some market values look bleak in the future, the majority will see a slight rise in value based upon their estimates. Here is their breakdown:
- The North East- The slowdown will continue. One of first areas to be affected by the market decline, the trend is likely to continue, but some areas will see moderate growth.
- The South- Having 12 of the 20 hottest markets for 2007, the South seems to be rising again. Other than areas of FL, most of this region will see gains in property value.
- The Midwest- Having missed out on the good times during the Real Estate boom of the last several years, this market doesnt have much to lose and therefore wont suffer a lot in the downfall.
- The West- Ouch, the worst outlook in the nation for the next couple years. The gold has turned to lead, with Las Vegas being #99 out of 100 in projected price change.
With foreclosure filings to hit an expected 2 million this year, the real estate market is hitting new records which arent good ones. Nevada leads the pack with 1 in 185 households hitting foreclosure.
If you visit any of the pages in my website like my Zionsville Real Estate section, you will see county information regarding building permits for the last three years. A quick review of the permits for Hendricks, Hamilton, and Marion county over the past few years shows a decline in the market. I see this as a market adjustment to meet supply and demand. The demand for homes as been declining in our local market, but central Indiana still has growth, even though it is not as strong as it was. The area around Indianapolis is expected to have between a 3-3.5% increase in property value over the next two years, ranking it 7th in the Midwest and and 33rd nationwide.
So what does all this mean to you?
Buyers- Foreclosures are rising and lenders are tightening the belts on approvals, but sellers now have to be realistic in their pricing to sell within a reasonable time frame.
Sellers- Buyers seem to have the upper hand, so promote your property in the best possible fashion and remember that buyer financing is the #1 reason a sale doesnt occur once an offer is accepted.
In closing- The Indiana market is good, but parts of the nation are in real trouble. And while the economy has a direct impact on real estate value, public perception of the housing market (which is also effected by the economy) plays a vital role in property values as well.
#If you have any other info about this subject , Please add it free.# |
