I know the question was posted in 2007 and here we are in 2010, but as I am sure you aware the market has been in major upheaval since you originally posted your question.
Not only do I work in the Collegeville/ Eagleville area but I live in 19403 and have been doing a lot of research for my neighbors that have been asking the same question recently.
In our area there are actually three different markets happening at any time that I keep my eyes on.
1. Listing and selling residential properties
2. Buying residential properties
3. Investing in Residential properties/ Multi- family properties.
The one that currently has most people's attention is the Listing and selling of their Residential properties. This segment has been hit hard by the economy and is not appreciating as most would like. House prices in our area are leveling out now but have dipped down to price points that are reminiscent of 2004- 2006 prices, before the boom and then collapse of the housing market and economy.
Most owners trying to sell their homes now will still be realizing a profit if they have owned for more than a 5- 10 year period but not what they want.
This has created one of the best times in recent history for the other two segments.
When the price of housing is selling low, it creates awesome opportunities for those that want to buy. Buyers today, whether for their personal residence or for investment purposes are getting great deals on houses they could not have hoped for 2 or even 3 years ago. It also creates opportunity to move up into a bigger and better home for the savvy home owner that is willing to lose a little on their current hose to make a lot on their next home.
The market shifts and changes but here in the SE PA region we have many influences that keep our market more steady than most of the Nation. We are centrally located between NYC and DC, close to major routes of travel and have some of the best public transportation on the East Coast. There are many huge companies in the area that are always transferring people in and out of the area, in many industries. Tech, Pharm, Tourism, Petroleum, Major Hospitals and first rate colleges. This enables the region to weather the economy as we are not dependent on one industry to carry us through, like Detriot or the Gulph Coast.
I would be delighted to fill you in more detail or help you better understand the market as it is today.
Please contact me and we can take a look and answer any questions the new market has inspired.
Coldwell Banker Preferred-Blue Bell
686 Dekalb Pike Suite 102
Blue Bell, PA 19422
I'm not sure how to answer that question because there are several unanswered questions. Such as, was the 27% for collegville/eagleville or an avg. of every county in PA? Hot areas will most likely see the highest declines (I believe we have already seen a 15% decline in certain areas.) Prices should remain stagnate however fluctuate with the seasons as it always does. If you need to sell your place (i.e. found a better investment, no longer afford it, etc.) then price it right. If you think the market will tank and you're trying to time it, don't waist your time; RE has proven to be a great investment over time. Hold on to it, rent it out and reasses in two years.
I'm sure there are other variables that are too hard to get into on a website. If you would like to chat further, shoot me an email so we can go over the specific numbers for your area.
If you need help renting or selling the unit, I would be more than happy to assist. Good luck!
Paul Della Croce
RE/MAX 440 - Perkasie & Doylestown