I just ran across another recent article that supports the belief that our area isn't doing poorly as the national news indicates most of the country is. In fact, while we've been fortunate to have area prices that have been fairly flat for the last year or two (they've been falling in much of the US), the article by the Collin County Assoc. of REALTORS (CCAR) indicated that in July area home prices were up almost 2% over July of last year! I don't know that this one finding means we're on the fast-tract to recovery, but at least this indicates that the worst may be behind us and home values may be again ready to rise. Of course, some experts disagree and feel that the rise is just an anomaly and the waves of adjustable rate mortgages adjusting over the next year or two, among other factors, could continue to suppress area home prices and fan the flames of foreclosure for quite some time. I'm hopeful that recent federal government actions to correct these issues, and the continuing strong local job market and economy, will help keep the local housing market headed in the right direction. The entire article is posted below (FYI) from the CCAR e-newsletter (8/29/08):

July Home Sales Prices Up Nearly 2 Percent in Collin County and Surrounding Areas

The median sales price of homes in Collin County and surrounding areas hit $183,500 in July 2008, up 1.9 percent over the same time last year, according to CCAR.

“This is very positive news for home sellers in the area,” says Steve Haid, CCAR Member Services Director. “Unfortunately, the rest of the market news is not as positive, as the number of new listings, listings under contract and closed sales are all down, compared to 2007.”

The CCAR Pulse, which delves into the real estate markets of 36 local communities, also reports that it took 91 days to sell a home last month, as compared to 69 days in July 2007. In addition, mortgage rates continue to rise slightly, but still remain very attractive at 7 percent, compared to 6.9 percent at this time last year.

North Texas is still experiencing a relatively balanced real estate market. This news is especially good for sellers, since there is not a large oversupply of homes on the market, unlike many other places in the nation. For buyers, a relatively low inventory, a high affordability index, and stable interest rates mean that the local market remains very affordable compared to most other areas of the country.

“While our local real estate market is not as brisk as recent years, it is still very strong and will likely rebound before too long,” notes Haid. “We have a strong local economy, a growing population, attractive interest rates, and very affordable housing. That combination is the recipe for a healthy real estate market.”
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So, while we're not out of the woods yet, things might just be looking up. It should be noted that some of CCAR's article (based on July numbers) is already out of date with mortgage rates falling again slightly in recent weeks closer to 6.5% (rates have been very volatile of late). So, check with a knowledgeable REALTOR and a solid mortgage professional to get the latest scoop on home prices and rate trends in your local area.

Ryan Cave, The "Caveman"
Truth, Honor & Personal Integrity
214-789-9366
www.CaveRealty.com