Could this be a sweet spot in the Philly housing market?
The housing crisis hit the City of Brotherly Love particularly hard in 2008 and 2009. Communities across the metro area saw many residents' mortgages go underwater and many homes slide into foreclosure. Willingboro, for example, had 15.9 percent of its housing stock in foreclosure, according to The Philadelphia Inquirer. While this hurt the area in 2008, some experts believe the city's current situation makes it a great time to consider buying one of the homes for sale in Philadelphia.
At the worst points of the recession, houses in the metro are staying on the market for months with nary a bite from prospective buyers. Even as the negative effects of the crisis dissipated, buyers in the area continued to move slowly. This made residents like Daniel Palko, who bought a home in the area a few years ago, worried. Although he believed the tide would turn, he spent months with vacant houses lining his street.
Now, finally, it seems like Palko's patience is paying off. According to the Metro, people are once again buying in the area, and Palko's street may belatedly fill up.
"They're moving," Palko told the news source, referring to nearby properties. "It's slow, but they're moving. They're really a great value."
One of the causes of activity in the market is that home prices have dropped considerably since their pre-recession heights. According to the outlet, homes that might have sold for $600,000 in the market's stable days are now going for about half of that. With property values bouncing back and prices still relatively low, this could be a great opportunity to buy real estate in Philadelphia.
After years of little or no gains in home sales, 2012 appears to be kicking into gear. A recent report from Prudential Fox & Roach reports that sales in Philadelphia are up 3 percent in the first half of the year over the same period of 2011.
"Our observation is it's clear that the sales are beginning to improve now," Long & Foster senior regional vice president Bob Albanese told Metro.
Right now could be a sweet spot for homes in the area - when they are still attractively priced but property values are increasing. This could be a great time to find your dream house in Philadelphia.