U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > U.S. Forums > New Jersey
 [Register]
Please register to participate in our discussions with 1.5 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Jump to a detailed profile or search
site with Google Custom Search

Search Forums  (Advanced)
Business Search - 14 Million verified businesses
Search for:  near: 
 
Old 05-16-2009, 06:14 AM
bay bay started this thread
 
425 posts, read 1,896,837 times
Reputation: 149

Advertisements

What do you think about housing market in next 10-15 years? My husband believes that it won't be like previous 10 years that house value gets double so quick. It probably will be stable and stay for a while. The conclusion is that we should not put too much money to renovate the whole house because it will get old again after 10-15 years when we want to sell it. We should only renovate the immediate living area first. At least make ourselves comfortable to move in. What do you guys think?

P.S. we are looking at berkeley heights and new providnece area
Reply With Quote Quick reply to this message

 
Old 05-16-2009, 07:01 AM
 
9,125 posts, read 23,748,232 times
Reputation: 3348
That depends- can you live with what you have for the next 10-15 years, or will you always be thinking "this kitchen is just a mess- we really should have redone it"? People need to stop looking at homes solely as "investments" and start looking at them as what they're meant to be- a place to enjoy living.
Reply With Quote Quick reply to this message
 
Old 05-16-2009, 07:35 AM
 
505 posts, read 1,126,068 times
Reputation: 195
Also, while I dont know your style, when renovating, try to avoid trends and try to go as classic and timeless as possible. When re-doing a bathroom, dont get the "bowl" sink or whatever they call it. When re-doing the kitchen, don't go with the copper appliances. Pick something that will look good whether its now, or 10 years from now.
Reply With Quote Quick reply to this message
 
Old 05-16-2009, 09:52 AM
 
1,529 posts, read 2,966,032 times
Reputation: 431
Your husband is probably right. Housing will continue to fall for the next couple of years, then it will probably remain flat for the next 10 years. (By "flat", I mean that house prices might start to rise a little in dollar terms each year at some point over the coming decade, but only just enough to stay even with inflation, so that the real value of a house will not increase for probably another decade.)

We will certainly never again (in our lifetimes) see another housing bubble like we just saw during the past 10 years. Those days are over for good.
Reply With Quote Quick reply to this message
 
Old 05-16-2009, 10:28 AM
 
Location: Stewartsville, NJ
7,577 posts, read 15,019,024 times
Reputation: 1186
Quote:
Originally Posted by Lusitan View Post
Your husband is probably right. Housing will continue to fall for the next couple of years, then it will probably remain flat for the next 10 years. (By "flat", I mean that house prices might start to rise a little in dollar terms each year at some point over the coming decade, but only just enough to stay even with inflation, so that the real value of a house will not increase for probably another decade.)

We will certainly never again (in our lifetimes) see another housing bubble like we just saw during the past 10 years. Those days are over for good.

Wanna bet?
Reply With Quote Quick reply to this message
 
Old 05-16-2009, 10:43 AM
 
Location: Montgomery County, PA
2,771 posts, read 3,796,633 times
Reputation: 594
Quote:
Originally Posted by bay View Post
What do you think about housing market in next 10-15 years? My husband believes that it won't be like previous 10 years that house value gets double so quick. It probably will be stable and stay for a while. The conclusion is that we should not put too much money to renovate the whole house because it will get old again after 10-15 years when we want to sell it. We should only renovate the immediate living area first. At least make ourselves comfortable to move in. What do you guys think?

P.S. we are looking at berkeley heights and new providnece area
Unless something is wrong with the place, and/or your renovation is a substantial improvement (e.g. you're ripping out 10 layers of vinyl and replacing it with tile), and not a customization, you shouldn't count on it adding much value to the place. Even if it is a genuine improvement, the improvement depreciates over time (e.g. new appliances aren't new 10-15 years later, new floors become less new, etc)

The way to build equity over the next 10-15 years will be to make pre-payments, not take out home equity loans so that your loan balance actually increases, and count on appreciation.
Reply With Quote Quick reply to this message
 
Old 05-16-2009, 11:53 AM
 
1,529 posts, read 2,966,032 times
Reputation: 431
Quote:
Originally Posted by wileynj View Post
Wanna bet?
Sure.

The U.S. dollar is on the decline as the world's reserve currency, and China et al will never again lend Americans the flood of money that created the housing bubble. Why would they, when are govt has shown its willingness to devalue our currency, print unheard of sums of money, and rack up a debt that has never before been seen in history.

The fact that so many people are sitting around waiting for the housing bubble to re-inflate is the biggest piece of evidence that we are far, far from the end of this collapse.
Reply With Quote Quick reply to this message
 
Old 05-16-2009, 01:05 PM
 
3,220 posts, read 4,057,665 times
Reputation: 1815
One always has to worry about NJ's Property Tax hikes.
Reply With Quote Quick reply to this message
 
Old 05-16-2009, 01:55 PM
 
Location: NJ
2,203 posts, read 4,326,011 times
Reputation: 2065
Quote:
Originally Posted by BobKovacs View Post
That depends- can you live with what you have for the next 10-15 years, or will you always be thinking "this kitchen is just a mess- we really should have redone it"? People need to stop looking at homes solely as "investments" and start looking at them as what they're meant to be- a place to enjoy living.
Agree wholeheartedly.

Fix up your home in a way you can afford and will bring you pleasure.

Homes need to be updated and maintained properly anyway otherwise they will depreciate even more than market conditions may indicate. You might as well get the benefit of those updates.

When I see homes in a miserable 1950's time warp that nobody wants, or a house which was updated purely for resale (and so the occupants never got to enjoy it) I kind of feel sad for the owners.
Reply With Quote Quick reply to this message
 
Old 05-16-2009, 02:39 PM
 
Location: Central New Jersey
238 posts, read 658,295 times
Reputation: 90
I tend to agree with your husband - that inflationary period we experienced thanks to the system indulging the greed of man will probably not happen again for a very long time (if ever). I also agree with the bloggers who advise that you improve for your own enjoyment especially since you do not intend to sell anytime soon.

Something else to keep in mind - I just completed my GREEN Certification and one of the predictions is that within the next 10 years (primarily because of growing environmental concerns) real estate sales will begin to move away from the mini-mansion sitting of large lots and towards smaller homes in communities surrounding a "downtown" destination. The belief is that the Generation X and Y home buyer (which form the largest number of homebuyers today) is starting to look for smaller, more energy efficient homes that make up neighborhoods and provide good transportation hubs. As you get closer to your sale point you might want to move toward Energy Star rated improvements.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:




Over $84,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > U.S. Forums > New Jersey
Similar Threads
View detailed profiles of:

All times are GMT -6.

2005-2014, Advameg, Inc.

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25 - Top