It’s something that Candy is working hard to ingrain upon me, but I’m sure you all know this by heart: Real estate is a local story.
So when I read the newest Housing Price Index report from CoreLogic yesterday, I’ll be honest, I kind of yawned.
Sure, it shows that Dallas home values are up 3.5 percent year over year. If you don’t count distressed sales, like short sales or *gasp* foreclosures, then home values are up 5.4 percent. That’s good news for Dallas, and really good news for Dallas residents with homes either poised or on the market.
But CoreLogic is kind of preaching to the choir, isn’t it? Houses are moving and inventory short, so of course, prices are going to inch upward. We’ve heard it first-hand from agents every time we report a story like this.
What I think is ridiculous, though, is the national summary. CoreLogic’s report shows that U.S. home values are up 1.1 percent over the past 12 months, which includes booming markets such as the Phoenix area, which is seeing amazing appreciation at 11.3 percent, and severely depressed markets, such as Chicago, which could be bottoming out with home values dropping 7.3 percent since April 2011.
What do you think? Is there such a thing as a national housing market?
I’m really impressed with your writing skills as well as with the layout on your blog. Is this a paid theme or did you modify it yourself? Either way keep up the nice quality writing, it is rare to see a great blog like this one today..
The DFW market is hot. The investment market is even hotter. The interest rates on mortgages might as well be 0. When you get a mortgage you want to be SURE to avoid PMI. Interest rates are low mut PMI rates go up frequently and dont go down. If you avoid PMI, you will never be able to buy real estate again in your life as cheap as it is right now.
Investors know this and are raking it in on investment properties. Construction companies are seeing a lot of investor rehab business. I’m sure glad I own a home here. We may not have seen the values sky rocket like some of America, but on the flip side, we did not lose that much either (unless you live in Midlothian or Cedar Hill)
http://www.hardcorecloser.com/easy-money-real-estate-agents-loan-officers/
Yes, we are thankful for that.
real estate has always been a local industry.
it is by defination tied to a local address.
what is national, however, is real estate financing. thankfully, access to reasonable mortgage underwriting and appraisals appears to be improving nationally and locally.
I don’t really think a national market is that important, except to looking at trends from a large scale. Companies like Zillow and Case Schiller can map out trends – but they may not be significant locally. Is there a national weather forecast? Or a state weather forecast. No! Real estate is LOCAL so it is important to take that into consideration when looking at these statistics.
No, and this is why I think we should tuck Case Shiller away and not pay so much attention to it. Real estate will always be extremely local with pockets even within the same zip code that do better than others.