Chat Plus: This is What Change Looks Like
Here's a question remaining from the most recent Real Estate Live chat, which happened Friday, July 24. You can read the full transcript online, or join us for the next go-round, scheduled for August 7.
Burke, Va.: What's really going on out there with prices? I know a few people in NoVA who are looking at single family homes in the $400k range who have been outbid on several properties. And since hearing these stories, I have been keeping an eye on Zillow, and that Web site has reported a value increase of almost $50k in my home over the last six weeks. Now, those Zillow numbers seem pretty fishy, but it is the trend that I find intriguing. What's going on here?
Elizabeth: Take the Zillow numbers with a big grain of salt. They just aren't that precise for any given home. Real, live, licensed appraisers are having difficulty pegging values now. What I think we're witnessing is a changing market, especially in the (relatively!) affordable price ranges. When prices are rising, people can predict where they're going; when they're falling, people can also predict that with some accuracy. But it seems many neighborhoods are bumping along near their bottom, and that's very tough to get a handle on.
This blog's Weekend Poll is a decidedly unscientific little device. Basically, it's a conversation piece. Still, I find the latest responses to be very interesting. When asked if buyers still have the upper hand in this market, responses are almost evenly split three ways. As of Monday morning, about a third agreed with the statement "Yes! There are tons of unsold listings," About a third chose "No. I still can't find anything I can afford." And the rest chose "It's a tossup. Both buyers and sellers are negotiating hard." Those split sentiments, to me, are another sign of a changing market.
July 27, 2009; 9:04 AM ET
Categories: Buying , Chat Plus , The market
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Posted by: janedoe5 | July 27, 2009 3:05 PM | Report abuse
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