Home Prices on the Way Up
Nothing beats a little good news; no doubt we have enough bad news to go around. As soon as I heard that the CAR (California Association of Realtors) economists announced that home prices would likely climb 3.3% in 2010, I wanted to share the good news with you. In the past, CAR economists have been reasonably accurate so this information comes with credibility.The Press Enterprise has a nice summary of the 2010 market forecast at:http://www.pe.com/business/local/stories/webhousing08.1f3b159c5.htmlLet me know your thoughts!
As I see it, I believe the market is going to have a surplus of homes for years to come. This is good for buyers with jobs who can secure a loan, but it will hurt home sellers in the meantime. More homes for rent, will provide competition for other rental properties, lowering the cost of rental apartments. Great for renters, but not for property owners. As jobs leave California for various reasons, this will just prolong the situation.
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Hi Roger,
Great to see you blogging…. I am not as optimistic as CAR is reporting. I see in from the the streets, I think foreclosure will start to pick up dramatically in next 12-18 months.
Being involved in real estate industry, we saw the subprime foreclosure happening, now we are experiencing most of the Alt-A loans going into foreclosure, although those foreclosures where slightly delayed due to Obama’s. moratorium. What no one expected was the amount of foreclosures due to job losses. Those are just started to happen. Sadly….Things will get worse not better over the next 12-18 months. I hate saying that because I am very optimistic person.
Carlos Samaniego
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Roger,
I’m glead you are optomistic about the C.A.R. projections. I blogged about this myself earlier today with a slightly different take on the data I saw and thought I’d pass on a link to my own blog, if you don’t mind – http://activerain.com/blogsview/1274344/2010-real-estate-projections-from-c-a-r-local-expert-john-occhi-realtor-
Please feel free to link back to your blog from mine – I always welcome differing opinions.
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