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Old 07-22-2014, 10:17 AM
 
Location: Austin
7,244 posts, read 21,811,238 times
Reputation: 10015

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Quote:
Originally Posted by austin-steve View Post
Normal residential "turnover" in a neighborhod is about 5% annually, or 1 of 20 houses.
I had always heard a 10% turnover was "healthy" for the market...
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Old 07-22-2014, 01:10 PM
 
Location: home
1,235 posts, read 1,531,451 times
Reputation: 1080
Quote:
Originally Posted by austin-steve View Post
In an inflating market, such as now, lower priced stuff increases in value disproportionate to higher priced homes, which, combined with still-low interest rates, makes "moving up" a good financial decision for growing families.

Steve
Moving up at low interest rates may be the worst time though. Rising rates means that higher priced homes will endure more pressure on an absolute basis. Bigger houses = bigger mortgages, and more exposure to price pressures from rising rates.

If you want a nicer house, and you plan on staying in it, then it makes sense. If you move up because you are trying to get in whiles it's cheap, then it's a mistake.
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Old 07-22-2014, 01:13 PM
 
Location: home
1,235 posts, read 1,531,451 times
Reputation: 1080
Quote:
Originally Posted by FalconheadWest View Post
I had always heard a 10% turnover was "healthy" for the market...
Our neighborhood is at about 5% over the last 12 months (23 sold out of 452 houses), but it's not an expensive neighborhood, just 200K-275K. 2013 average Days-on-Market was 17 days. This is the story of Austin RE right now.
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Old 07-22-2014, 01:34 PM
 
Location: Austin
7,244 posts, read 21,811,238 times
Reputation: 10015
Quote:
Originally Posted by sojourner77 View Post
Our neighborhood is at about 5% over the last 12 months (23 sold out of 452 houses), but it's not an expensive neighborhood, just 200K-275K. 2013 average Days-on-Market was 17 days. This is the story of Austin RE right now.
But we're not in a "healthy" market right now. We're in a "supply and demand" market where we're low on inventory and prices have gone up for the select people who are able to beat out the others in a multiple offer situation. The immense amount of multiple offers in our Austin market does not make it currently a healthy market.
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Old 07-22-2014, 01:41 PM
 
Location: Round Rock, Texas
13,448 posts, read 15,481,027 times
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Maybe this low inventory explains why the home selection is rather blah. Im just casually looking, and most of the offerings are rather unappealing ... my own home has more pizazz than many of the listed houses...
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Old 07-22-2014, 03:36 PM
 
Location: The Lone Star State
8,030 posts, read 9,052,833 times
Reputation: 5050
Quote:
Originally Posted by RoadWarrior12 View Post
People taking advantage of a hot market.
Normal behavior for this time of year.
People sick of dealing with jaded transplants that complain in incessantly.

Who knows? I'm sure everyone has their reasons.
I'd echo this.
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