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02-02-2009, 09:04 AM
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Senior Member
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Join Date: Mar 2007
Location: Kennesaw,GA
5,855 posts, read 3,866,826 times
Reputation: 1144
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Quote:
Originally Posted by 41Willys
House prices will never come down. They will just level off.
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Are you sure about that? |
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02-02-2009, 10:56 AM
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Rationally looking at all sides
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Join Date: Mar 2007
Location: Interior AK
1,002 posts, read 588,364 times
Reputation: 255
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Quote:
Originally Posted by Jennibc
A 500K house selling for 300K is a 40% drop. I really doubt you will see that in Seattle. While other areas have seen that, Seattle has only lost 11%, it may go as high as 20% but don't expect an area that has been built out to drop 40%. There are still too many people in the area that want to become home owners and still too little in the way of supply to see that kind of drop.
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I bought my house for $300k in 2002. When I refinanced for rennovations in 2005, it was worth $500k and that's the property tax appraisal value as well. If I put it on the market today (even with the new roof, plumbing, electrical, etc), I'd be lucky to get much more than $300k. That wouldn't even cover the loan.
About 50% of the houses in my neighborhood are for sale. Half of those are new development, the other half are residents. None of these houses have sold in at least 6 months. I've talked to many of my neighbors, and they're pricing just at or below loan value/tax assessor value... they are in a position to take a LOSS (not just zero or low profit) and they STILL can't sell.
I don't know about official statistics, I just know what I see in my neighborhood.
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02-02-2009, 10:57 AM
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Senior Member
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Join Date: Jul 2007
Location: Seattle area
730 posts, read 538,234 times
Reputation: 307
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I dunno. 40% seems steep, but looking hard at what's selling around me, I think we've seen an 19% drop in just the last 10 months. If MS starts laying off hard, I think we'll certainly see prices in Redmond fall further fast. It's still nice and still convenient and all, but supply and demand...!
And I guess we have 41Willys to thank. He jinxed it. Da**it!!
No plans to move, but certainly it's been a fast and hard fall!
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02-02-2009, 11:02 AM
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Rationally looking at all sides
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Join Date: Mar 2007
Location: Interior AK
1,002 posts, read 588,364 times
Reputation: 255
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Quote:
Originally Posted by jenlion
If MS starts laying off hard, I think we'll certainly see prices in Redmond fall further fast.
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MS cancelled a lot of contractors around Christmas, and then had a round of full-time lay offs in January. I think we're in for a few more rounds of RIFs. I think the impact will go way beyond the Redmond town limits! MS is one of the top employers in the Seattle area, if they start laying off hard I bet we'll see foreclosures from Kent to Lynnwood and out to North Bend. |
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02-02-2009, 11:07 AM
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Senior Member
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Join Date: Mar 2007
Location: Kennesaw,GA
5,855 posts, read 3,866,826 times
Reputation: 1144
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I can only see housing prices going down.
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02-02-2009, 12:01 PM
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City-Data Addict
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Join Date: May 2008
Location: Austin, TX!!!!
1,884 posts, read 1,088,379 times
Reputation: 486
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Quote:
Originally Posted by MissingAll4Seasons
I bought my house for $300k in 2002. When I refinanced for rennovations in 2005, it was worth $500k and that's the property tax appraisal value as well. If I put it on the market today (even with the new roof, plumbing, electrical, etc), I'd be lucky to get much more than $300k. That wouldn't even cover the loan.
About 50% of the houses in my neighborhood are for sale. Half of those are new development, the other half are residents. None of these houses have sold in at least 6 months. I've talked to many of my neighbors, and they're pricing just at or below loan value/tax assessor value... they are in a position to take a LOSS (not just zero or low profit) and they STILL can't sell.
I don't know about official statistics, I just know what I see in my neighborhood.
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Are you in Seattle proper? |
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02-02-2009, 12:04 PM
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Real Estate Agent
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Join Date: Nov 2006
3,516 posts, read 2,722,794 times
Reputation: 1005
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I can only see housing prices going down.
Me too. Inventory of existing homes for sale is still pretty high, and sales of existing homes for sale is significantly down. The ratio of median income to median home prices is way too low, so either incomes will dramatically increase, or home prices will fall. There's also a historical ratio of rents to home prices, and it too is all out of whack, so either rents will rise or home prices will fall, or both...
I don't see a freefall in home prices coming. i don't see 50% off sales, but there's no doubt in my mind that prices will continue to drop...probably somewhere between another 10-20%.
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02-02-2009, 01:29 PM
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Rationally looking at all sides
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Join Date: Mar 2007
Location: Interior AK
1,002 posts, read 588,364 times
Reputation: 255
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Quote:
Originally Posted by Jennibc
Are you in Seattle proper?
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No, we're out in Kenmore/Bothell. |
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02-02-2009, 01:36 PM
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is now known as Seattlerightnow
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Join Date: Mar 2008
Location: WA
1,894 posts, read 1,214,299 times
Reputation: 736
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I drove through Kenmore yesterday and I saw about 20 real estate signs.
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