As the housing market has struggled in many parts of the country, market watchers have been waiting for signs of a bottom in the price declines that have plagued many regions of the country.
For the first time in a while, positive articles are beginning to appear in the national media. Take a look at these examples in some of the harder hit states:
- Housing affordability on the rise
Pasadena Star-News Homes are biggest bargain since 2004 CNNMoney.com First-time buyers find silver lining Los Angeles Daily News Homing In Boston Globe
How about Alabama?
- Alabama has some good news thanks to having one of the lowest foreclosure rates in the region. Nevertheless the State has seen some price declines, however they have been moderate when compared to those states experiencing much higher foreclosure rates.
How about the market for Huntsville Real Estate?
- Our local market fundamentals are extremely strong with a fast growing job market and BRAC relocation beginning and planned to accelerate thru 2011. All of this translated into a March 2008 unemployment rate of 3.1% compared to the 5.2% nationwide.
- True over the last 6 months home inventory has increased and sales have declined (year over year), however the rate of these market dynamics has begun to slow and edge back in the other direction.
- Prices have remained strong although off from a peak in June-July 2007 they have stabilized and will likely appreciate over the summer selling season, although at a slower pace than we have seen in recent years.
- Inventory is especially high for upper-end homes with buyer market forces strengthening almost proportionally with price. Some really good deals can be and are being made.
- Inventory for starter homes on the other hand is very low, characterized by a strong sellers market with little price flexibility. However the supply side is responding, a detailed MLS search this morning on all pre-construction listings found that ~125 of the 210 listings were under $200k.
Given both the fundamental and technical status of our local market, we would rate it a strong buy!!! A single family home over the years has been the largest and best wealth building investment one can make. And given that owning a home also enhances our quality of life it truly remains a win-win proposition. If we can be of assistance in anyway please don’t hesitate to contact us.