Thanks for your questions. I hear concern from many people in Pittsburgh and I want to address your concerns. The local market in Pittsburgh is much different then the national real estate market. While many areas of the country are seeing declining prices, the market in Pittsburgh and the Wexford area has been much more stable. Pittsburgh never had the high, inflated prices seen in other parts of the country so we are in much better shape now. With more inventory and it is taking longer for some home to sell and this is why accurate pricing is essential to selling your home for top dollar. Homes that are priced correctly and marketed effectively are selling. Many areas like Downtown Pittsburgh are seeing an increase in demand and prices are increasing. Please let me know if I may assist with any other questions. Are you thinking of selling your home? I would be happy to provide updated information on home sales in Wexford these past few months and evaluate your home.
we are in a market correction period. Look at history! It has happened many times before. The bigger the mountain the wider the valley usually is on the other side- but the mountain ranges have continued to go up higher after each valley.
When will we hit bottom-- when consumer confidence returns. You can be part of the first upswing and get the biggest profit margin when it rises, or you can wait for somebody else to take that first risk at buying and let them take the most profit while you settle for a smaller share along with a crowd of others.
Whats your need for housing? If you need a place to live, buy now,(at low interest rates) and then enjoy your home when others are wishing they had had your forethought
Hope that helps
Real estate is local. I would not want to speculate on how the market will behave in your area, or mine.
We do see a couple of factors in shift right now:
- tighter lending guidelines reduces the pool of buyers
- in the short term (next few months) interest rates are falling
- People who bought in the last few years have adjustable mortgages adjusting UP, so more homes will be on the market in short sales or REOs
And remember there are two markets: The homes that sell for top dollar and those that don't. HOmes that are properly marketed and priced sell within 30 days at closest to asking price. Homes that are (about 80% of listings) sell longer. At 120 days on market (DOM) they sell for 92.7% of asking in my MLS. Compared to 99.7% that sell within 30 days.
I would be honored to refer you to a top Realtor in your area whom you can interview and find out what your home is worth and help you get it sold for top dollar. (no cost or obligation to you).
The other major concern is that you need to know what the market is like in your destination location. REal Estate is local. I had a client that needed to sell their home in Glendale and move to Tennessee. The market in Glendale was going down, and in Clarksville it was going up. They ended up losing money in Glendale (homes are more expensive) and losing money in Clarksville...because they waited.
In all market when the price starts going up, you know the house price has reached bottom.
In Wexford, it really depends on neighborhood and price range. A "detailed" market analysis will give you a better picture as to how the market is doing.
If you planning to move up (purchase a higher price range home), it is a good time to buy at a buyer's market. Usually, the higher the price range, the drop is more. But even if the rate is the same, you gain more. For example, you sell a home ($200,000) for 5% less and you purchase a bigger home for 5% less ($400,000), you actually "gain" $10,000.00
Possibly the best way to gauge this question is to use the current property foreclosure sales prices as the barometer for the bottom of real estate the market in a specific location.
With this said, if you are considering purchasing a foreclosed property you should be at or very near the bottom of the market.......barring any additional economic or world crisis.
Real Estate is local, just like the weather. If you are asking about your area, I would recommend that you speak with an expert in your area.
As for national prices, I think it is anyone's guess. I don't think there is anyone who can tell you for sure, just like no one new exactly when the peak was coming....everyone had their guess. My gut feeling tells me at least another year of price drops (how much depends on the local conditions) before they level off for a few years. I would expect a normal rate of appreciation 3-6% for the few years that follow.
But overall I will go out on a limb and say 9 months. By that time consumer confidence should be higher and banks should be lending more.