Home Prices Are On The Rebound… Is It True?
As we all know in the real estate world predicting the absolute best time to buy or sell is not quite that easy… If only we had that magic crystal ball! We may not have the crystal ball at our disposal, but we do have market data that we can compile to determine cyclical patterns. With that said, real estate is very much a localized business - what’s happening in Seattle is very much different than what’s going on in Detroit, and so on and so forth…
Each quarter, Pulsenomics surveys a
“distinguished panel of over 100 economists, investment strategists, and housing market analysts regarding their 5-year expectations for future home prices in the United States.”
Here are the results of their last survey:
Price appreciation/depreciation expected over the next five years:
2012: - 0.4%
[The average pre-bubble (1987-1999) annual appreciation was 3.6%]
Again, keep in mind that real estate is extremely localized…the more precise you get, the more accurate your data will reflect. (National vs. State vs. City vs. Neighborhood)
According to S&P Case-Shiller 20-City Composite Index, home prices rebounded in April following seven months of declines in nearly all of the major markets. From March to April, 19 out of 20 markets tracked by the index posted price gains. Seattle real estate experienced a 2% increase.
Bottom line: What does this mean to you? If you haven’t thought about buying, you may want to explore your options.