More Proof the Housing Boom Is Over
The Office of Federal Housing Enterprise Oversight released data earlier this week showing that U.S. home prices experienced their biggest deceleration in growth in three decades in the second quarter–but nevertheless ticked upward. Average home prices rose 1.17 percent in the April to June period, versus 3.65 percent in the same period a year earlier….
The Office of Federal Housing Enterprise Oversight released data earlier this week showing that U.S. home prices experienced their biggest deceleration in growth in three decades in the second quarter–but nevertheless ticked upward. Average home prices rose 1.17 percent in the April to June period, versus 3.65 percent in the same period a year earlier. “These data are a strong indication that the housing market is cooling in a very significant way,” OFHEO Director James B. Lockhart said in a statement. “Indeed, the deceleration appears in almost every region of the country.”
Home Prices Rising After 2Q Slowdown [Forbes]
Sorry to flame you 11:31, but your remarks are retarded. A 100% price reduction would leave you with exactly zero. What you mean to say is that prices could fall by 100% of your purchase price and you’d still be ahead.
You also seem to claim that the value of your home is over 140% above what you paid less than 1 year ago. If you put 10% down that would mean you made over a 1000% return.
I think not. If this all is true, sell.
prices doubled between 2004 and 2005….so is poster #1 suggesting that prices will fall by 50%? Sounds like a pipe dream of a wannabe homeowner to me.
I’m not worried. I bought my coop at 35% below market value last year. Prices have jumped an additional 60% since then. So I’m looking at a close to 100% price reduction before I begin to feel the pain as was suggested.
This is nothing but fear-mongering of those who are trying to terrorize homeowners into selling.
I have seen the vision of what brooklyn is becoming. If you are able to hold your property for 6-10 years you will be sitting really pretty, even if it’s just a studio apt.
Or “than” and “then”; or know how to spell significant (not “signifigant”).
Ok, enough of the attacks on grammar and spelling. 😉
I’m not listening to anyone who doesn’t know the difference btw “their” and “there”.
I doubt that most people who bought in ’04 or later are thinking of selling their townhouses in ’07. I’m all for some sanity. It just means that the next up cycle will begin sooner, and I’ll be able to stop reading all of the doom and gloom forecasts that have been ongoing for the past 4 years. I’d venture to guess that most who bought brownstones in the past few years are not looking for a quick flip; if they were, you’d think they’d flip something easier to maintain such as condo…
Noone loses or makes money until they sell…
I love when people write everybody who bought after a certain date is in trouble.
We signed the contract for a 2br park slope proper new construction condo at 500USD psf. The value will probably go down from the 700USD psf people paid at resales, but the market needs to cool quite a bit until we loose money.
And as we intend to upgrade and didn’t bank an home value increases, but increasing earning power I hope the classic 7 gets nearer and nearer with overstretched people leafing the field.
PS: We now live in 2br condo in park slope with less of 2200USD running costs – not factoring in tax breaks in mortgage payament and principal payments.
PPS: No ARM as well – boring 30yr fixed.
Poster #1 is certainly a downer but facts are facts, and that report is only from Q2, which excludes the past three months. Things are stalling at best and likely heading down. How far, how fast, what effects – no one really knows. Sadly, it will be the people who can least afford it who will be hurt the most.
up is up and the above poster is a downer:>)