[skytrekker]

According to Moody's Investor, Housing prices in metro Hartford should drop 17.6 from the peak in first quarter 2006, to the trough in 4th quarter 2008.

Not good news if this happens.
See Double digit home price drops coming - Sep. 19, 2007

[JayCT]

I saw this, but I do not know what they are basing this projection on. I wanted to try to do more research on it before posting. They are saying Hartford is going drop almost as much as Phoenix, which to me does not make sense, Hartford has not had nearly the appreciation or overbuilding that Phoenix had and the economy here is still pretty strong.

The only thing I can figure is that they are predicting that this will happen between now and the low point. The Hartford region has seen prices increase up until now while Phoenix and other parts of the country have already seen a drop. In general this is saying that the entire housing market in this country is going to tank and I am not sure that is true. Interest rates are falling again and the economy is still strong. It will be interesting to see if this is correct. The problem is that the newspapers say this so much and plaster it all over the front page and then on TV that it gets everyone scared and then it comes true. We wil see. Jay

[jeremeyk482]

Originally Posted by JayCT

I saw this, but I do not know what they are basing this projection on. I wanted to try to do more research on it before posting. They are saying Hartford is going drop almost as much as Phoenix, which to me does not make sense, Hartford has not had nearly the appreciation or overbuilding that Phoenix had and the economy here is still pretty strong.

The only thing I can figure is that they are predicting that this will happen between now and the low point. The Hartford region has seen prices increase up until now while Phoenix and other parts of the country have already seen a drop. In general this is saying that the entire housing market in this country is going to tank and I am not sure that is true. Interest rates are falling again and the economy is still strong. It will be interesting to see if this is correct. The problem is that the newspapers say this so much and plaster it all over the front page and then on TV that it gets everyone scared and then it comes true. We wil see. Jay

I hope you're right!

[skytrekker]

Jay, I tend to agree with you- I find this data someone surprising and question its validity.
Moody's has been wrong before.

The economy, however I do think is weaker then you believe- the FED would not reduce rates as it did by .50 if they believed things where doing well. Gold is over $720 an oz- and oil is over $80-

Here is the blog I read alot when I am not so devoted to CD-
Calculated Risk is an excellent economics blog- lots of great stuff on the economy you do not read in the mainstream media.
Members of this blog predicted the housing meltdown 2 years ago, while the mainstream media saw nothing.
Calculated Risk

[wanderintonc]

Well, my ancedotal views of housing in the Hartford area lately have been-big expensive houses seem to sit around a long time, and little starter ones seem to get sold quick. I think mid-range homes move well if priced well, if not they sit around.

This is based simply on what I see on the street everyday. No links provided, because it is just personal observations.