The Truth About Real Estate In Bucks County

I have written a few posts recently, about the state of the real estate market in Bucks County.  In those posts, I have consistently pointed out that our local market, is not doing all that badly.  That is especially the case when you compare what is happening in Bucks County, with what is happening in many parts of the county.   If you listen to the national press, you would assume that the bottom is falling out of the real estate market in Bucks County.  I have been extremely frustrated with our local  press, because until recently, there have been very few articles that accurately portray the state of the local market.  In case anyone has not told you, real estate is, and always has been, local.  What is happening in Florida, Arizona and California, has nothing to do with what is happening in Bucks County.

The chart actually documents, from data taken directly from our MLS system, that there were more closed units in Lower Makefield Township in 2007, than in 2006.  You would certainly not know this, from reading the local newspapers.  This is not to suggest that our market is not a, “buyers market”.

I found a couple of very well written articles, in local publications, that very accurately portray the state of our local market.  First, the current issue of Philadelphia Magazine, has on its cover, the following headline, “Philadelphia, Smile.  Your house is worth more than you think.” 

In the article, the author points out that the general Philadelphia metropolitan area, of which Bucks County is included, is holding up quite well, compared with other parts of the country.  The article explains why the Philly area market is better than you are being told.  He points out that the area economy is still strong.  Another point made, is that we are a primary residence market, for the most part.  There was never a lot of speculative buying, during the hectic, appreciating years.  As a result, although prices appreciated nicely in the Bucks County area, they did not appreciate as much as they did in more speculative areas.  Conversely, as other parts of the country have crashed, our landing has been much smoother.  The article dispels several other myths about the local real estate market.  I highly recommend getting a copy of the article.  If you are reading this, and would like a copy, please let me know, and I can send it via email.

The second article, was a column in the Philadelphia Inquires, this past Sunday, by the papers real estate columnist, Alan J. Heavens.  Alan talks in his column, about real estate from a historic perspective.  He says, “Real estate is local as local as a block.  Forget the web nuts and NBC nightly news.  There is no national housing market.”  Further, he observes that if you are thinking of selling but worried that the housing market is glutted.  Forget it, he says.  Houses linger because they aren’t priced right for the market.  How true!

Interest rates are low, and there is mortgage money available, despite the challenges of the sub-prime lending fiasco.

In a nutshell, as I have been saying recently, the real estate market in Bucks County is not as bad as the press would have us all believe.  Houses are selling every day.  The spring market is upon us and I will report on how the first quarter faired, once we get through March. 

In another post, I will provide some additional statistics for other Bucks County markets.