Austin Housing Market Won't Improve Until 2010
Tuesday January 6, 2009
Today, in its Real Deal blog, the Austin American-Statesman reports that the housing market in Austin will continue to get worse in 2009.
The Statesman says Eldon Rude, who spoke at the First Annual Austin Economic Housing Forecast meeting this morning, believes things are going to get worse here before they get better. While Austin is faring better than many other cities, Rude predicted that home starts, which are already at their lowest since 1997, will probably fall another 20% this year. He also predicted that prices will continue to fall in Austin.
The good news? Rude predicts that our housing market will be on the upswing in 2010. How is the sluggish housing market affecting you?
Comments
My family business is based on the real estate market so here’s hoping the market does turn around by 2010!
I just hope someone from Travis County Appraisal District sees this. According to them, home values are at an all time high and sales have never been better.
I am a REALTOR® and I have seen it pick up after Christmas. More inventory than usual and fantastically low interest rates. I am depending on there being a decent market- be what it may. I do see slightly lower home prices but feel BLESSED to be in Austin. We are not NEARLY so hard hit as SO many areas of our country!!!
As a REALTOR® in Austin, I see fewer sales than in previous years. The great thing about it is that this decreases the number of poor real estate agents active in the market. So many get out of the business when times are tough.
Although home starts are one indicator of market strength – it is actually a positive thing for current home owners that the amount of new construction is going down. The more inventory sitting on the market unsold, the more it drives down prices. This is a healthy adjustment.
And if you are not a home owner yet – it can still be a great investment. The simple truth is that you just have to buy smart if your purchase is primarily an investment (as opposed to a purely emotional buy). I’m an active realtor in Austin and see great deals (and overpriced turkeys) everyday!