Home Prices Are Trending Up
Home Prices are Trending Up
Home prices are trending up. The best measure of national real estate prices is the Case-Shiller home price index. This is the measure used by hard nosed professionals in the real estate industry who are not given to wishful thinking. It’s real flaw is that it is a lagging indicator. Everyone today wants their information in real time. As Wyatt Earp said: “Speed is wonderful but accuracy is everything.”
Real Estate prices were higher in 16 out of the 20 metropolitan areas across the country that are measured by this index. These numbers are calculated on a seasonally adjusted basis. Bear in mind at all times that all real estate is local and there are exceptions in any given area to the sweeping generalizations experts like to give.
Home Prices are Trending UP more for new homes
This announcement combined with the most recent numbers on home sales and stats is solid ground for optimism that the market has really flattened out and is finally coming back. There is a wide disparity between the sales of new homes which are hot and the considerably slower sale of older homes.
Without figuring in the seasonal adjustment, prices actually rose in all 20 measured metropolitan areas for the 3d consecutive month.
Low Interest…Stringent Requirements
With interest rates at or near record lows banks remain stringent in their requirements to issue mortgage loans. It will take improvement in the broader economy for cause for real confidence in a rosy future as the housing market continues to recover.