Home Prices Drop in 45 Big Cities (foreclosed, rent, condos)

[Waterlily]

They've come out with the 3rd quarter report on housing and the National median price is down once again. You can read about it here.
http://www.usatoday.com/money/econom...es-chart_x.htm
The biggest loses are in the midwest,Nevada,Arizona,Florida and California. Some places did not have any price drops.
You can read more about it here. http://www.usatoday.com/money/perfi/...s-summer_x.htm
Is your house a loser or not?

[Need_affordable_home]

House prices are dropping alot here in south Florida!

[Jammie]

Hi Lilly, that was a good article. Why did Gainesville have such a big appreciation rate? I believe it was 15%. Wow.

No, my area had a VERY moderate increase. My town wasn't on there and Sioux Falls was the nearest so I'm guessing it's not very different right here.

[Need_affordable_home]

Originally Posted by Jammie

Hi Lilly, that was a good article. Why did Gainesville have such a big appreciation rate? I believe it was 15%. Wow.

No, my area had a VERY moderate increase. My town wasn't on there and Sioux Falls was the nearest so I'm guessing it's not very different right here.

Ive been to Gainsville. Its a college city with lots of new people moving there. Those students buy houses or condos or rent from others. This drives prices up.

[christina0001]

New Jersey is still increasing, at least in my area. I was glad to see it's holding steady where we want to relocate to (-0.6% change). Thanks for posting this.

[SteelCityRising]

Well, for some reason or other, Scranton/Wilkes-Barre, PA, with a population larger than both Binghamton, NY and Allentown, PA, didn't make the list, yet they both did. Judging by the modest gains in both cities, I'll have to pat myself on the back for likewise forecasting a similar modest gain here in Scranton. In Allentown, the median selling price rose from $261,100 to $270,000, and in Binghamton, the numbers rose 10% from $97,600 to $107,400. Scranton's prices are in the middle of the two and have steadily been gaining ground with the increasing influx of new residents from nearby New York City and New Jersey over the past several years. Our own home, which we purchased in 1996 for about $110,000, is now worth around $200,000! At this rate, I hope I can still afford a home in Scranton after college!

[MoMark]

Originally Posted by Waterlily

They've come out with the 3rd quarter report on housing and the National median price is down once again. You can read about it here.
http://www.usatoday.com/money/econom...es-chart_x.htm
The biggest loses are in the midwest,Nevada,Arizona,Florida and California. Some places did not have any price drops.
You can read more about it here. http://www.usatoday.com/money/perfi/...s-summer_x.htm
Is your house a loser or not?

From Online-Journal Nov. 21Housing Bubble-Smackdown)"First of all, if we compare our situation to what happened in Japan during the 1990s, we can expect that prices will continue to fall for years to come, perhaps, a decade or more. Many of the slower markets are already showing a decline of 10 percent to 20 percent. This is a trend that is likely to speed up dramatically in 2007 when $1 trillion in ARMs reset( ). That’s when we’ll begin to see a truly new phenomenon in the US, that is, people who’ve always been solid members of the middle class sliding downwards into the ranks of the working poor.
By 2008, if the present trend-lines persist, housing prices will probably drop to 25 percent to 30 percent of their 2005 value; diminishing equity value by approximately 45 percent to 50 percent for most homeowners.
If you own your home outright; you can sweat it out, but if you got into the market late; you’re toast. You’ll be joining the throng of mortgage-slaves who are shackled to loans that are significantly higher than the current value of their houses. (including those who had earned equity with payments and home appreciation, but then got suckered into taking out equity loans... )
Imagine paying off a loan for $400,000 when your house has been reassessed at $250,000 or $300,000; that’ll be the reality for an estimated 30 million Americans. Meanwhile, inventory will continue to grow (already at an 8-month backlog), the economy will continue to contract, and the dollar will continue to weaken. (Many of the major home builders; Centex, Beazer and Toll Bros, are reporting that profits are down by nearly 65 percent..."

I own my home free and clear. I have zero debt, no auto/credit card/or equity loans...totally debt free. I pay all my utilities monthly and that's it. But, this nationwide phenomena scares me silly as even if my own home is not in danger, when 10% of Americans (estimate above) find themselves underwater in their mortgages and find that they can't sell their homes or move to new job opportunities as needed, they will begin foreclosing and leading a massive downward spiral in spending and the whole economy could shoot like a rocket into a depression...that would affect all of us, no matter how careful we've individually been. And for those foreclosed, if they foreclosed with equity loans, they'll forever be on the hook for those equity loans and not be able to shed that debt through bankruptcy...they'll either pile into homes with family and friends to survive, or be on the street. Look for discontent to soar as well as crime, family problems, mental problems, despair. That's frightening to me.

[Waterlily]

Well MoMark's article tells one point of view. it is possible this could happen but others say the housing drop will be finished soon. We'll just have to see how it all turns out.
No I'm not worried for myself,as we have a very small mortgage. Even if prices go down it will have no effect on me but it will effect those who bought within the last year.
My town is not listed on the chart because it's too small and they are only listing large cities. However it looks like all the northwest USA is going up in price. That's strange but things always seem to be different here.

[MoMark]

Originally Posted by Waterlily

Well MoMark's article tells one point of view. it is possible this could happen but others say the housing drop will be finished soon. We'll just have to see how it all turns out.
No I'm not worried for myself,as we have a very small mortgage. Even if prices go down it will have no effect on me but it will effect those who bought within the last year.
My town is not listed on the chart because it's too small and they are only listing large cities. However it looks like all the northwest USA is going up in price. That's strange but things always seem to be different here.

You're right, none of us really know what's going to happen and the doomsayers (like the article I refered to that gives me chills) are just one point of view. Others think this is temporary and that we'll escape a recession altogether. We really don't know how this will work itself out. Even the 'experts' don't know which way to view this for the most part. I think everyone is just holding his or her collective breath.

[grammy164]

MoMark-a few weeks ago my Dad told me he read an article in which some economists were predicting a major depression just as you explained. It is very scary!