Just how sick is the housing market? - Page 334 - PhillyBlog

Philly Accent · #**3331** (**permalink**) 07-08-2008, 09:35 AM

can anyone provide a 15-20 year, year over year home appreciation chart for philadelphia? or at least tell me what the historical appreciation rate is, 4,5,6%

i asked tim k previously but he left the thread.

Gekko · #**3332** (**permalink**) 07-10-2008, 09:46 AM

Quote:

Originally Posted by Philly Accent

can anyone provide a 15-20 year, year over year home appreciation chart for philadelphia? or at least tell me what the historical appreciation rate is, 4,5,6%

i asked tim k previously but he left the thread.

ask 10 "experts" and you'll get 10 different answers. In the book Irrational Exuberance, Robert Shiller says that inflation adjusted U.S. home prices increased 0.4% per year from 1890–2004, and 0.7% per year from 1940–2004.

Philly Accent · #**3333** (**permalink**) 07-10-2008, 09:56 AM

ha, i'd loved to quote those figures to local realtors. answer "well philly is different".

i did a quick search yesterday and found the magic number is 3% as of 2007. i asked another realtor the question and i got "well some neighborhoods are up 30% year over year". seriously, i think realtors should be forced to take a basic finance class before getting their license so they can learn the basics and history of inflation and bubbles.

Gekko · #**3334** (**permalink**) 07-10-2008, 12:16 PM

Quote:

Originally Posted by Philly Accent

ha, i'd loved to quote those figures to local realtors. answer "well philly is different".

i did a quick search yesterday and found the magic number is 3% as of 2007. i asked another realtor the question and i got "well some neighborhoods are up 30% year over year". seriously, i think realtors should be forced to take a basic finance class before getting their license so they can learn the basics and history of inflation and bubbles.

"It is difficult to get a man to understand something when his salary depends upon his not understanding it." - Upton Sinclair

Mars · #**3335** (**permalink**) 07-10-2008, 04:23 PM

I repeat..money is national...

Quote:

Wall Street is bracing for regional and small banks to fess up to large losses from their mounting volume of soured construction loans made primarily to home builders.

According to the Federal Deposit Insurance Corp., $45.4 billion of the $631.8 billion in construction loans outstanding at the end of the first quarter were delinquent. When banks announce second-quarter results in coming weeks, they are expected to report sharp increases in loans that builders can't repay. Banks are also facing intensifying pressure from federal and state regulators to deal with the problem loans on their books.

That will put additional pressure on an already stressed financial system. Banks have begun to dump bad construction and land loans at discounts, curtail new lending and halt construction projects that are under way to preserve capital. Some analysts even see a wave of bank failures as a possibility.

http://online.wsj.com/article/SB121494953423420859.html

Mars · #**3336** (**permalink**) 07-10-2008, 04:25 PM

and the "beat...ing" goes on.....

Quote:

WASHINGTON (AP) - A measurement of pending home sales fell to the third-lowest reading on record in May as the housing market's recovery continued to prove elusive.

The National Association of Realtors' seasonally adjusted index of pending sales for existing homes fell 4.7 percent to 84.7 from an upwardly revised April reading of 88.9. The index was 14 percent below year-ago levels.

"The overall decline in contract signings suggests we are not out of the woods by any means," NAR Chief Economist Lawrence Yun said in a statement.

Home sales are considered pending when the seller has accepted an offer, but the deal has not yet closed. Typically there is a one- to two-month lag before a sale is completed.

http://money.aol.com/news/articles/_...08110709990024

loosecannon · #**3337** (**permalink**) 07-10-2008, 04:50 PM

yup, small banks and the nation are doing really crappy. Unfortunately for you however, Philadelpha home prices, keep going up.

"In Philadelphia, the median sale price of an existing home actually rose 3.2 percent in May 2008, to $149,900, compared with $145,200 last May."

http://www.philly.com/philly/busines...ia_region.html

Quote:

Originally Posted by Mars

and the "beat...ing" goes on.....

Mars · #**3338** (**permalink**) 07-10-2008, 04:52 PM

I see you attended the faith based business school of Philadelphia. How unfortunate for you...

Gekko · #**3339** (**permalink**) 07-10-2008, 05:24 PM

loosecannon = GoogleBoy?

Philly Accent · #**3340** (**permalink**) 07-10-2008, 05:59 PM

i think he meant to do this:

median sale price..$149,900, compared with $145,200

now show me those prices in center city....didn't think so.