Housing Market Indicators

Whether you are a real estate agent or a speculator pondering the state of the housing market, you are questioning whether the prices of homes will continue to reach the bottom, will rebound, or what.  At a company meeting of Coldwell Banker agents, the president shared with us a study conducted by The Joint Center for Housing Studies of Harvard University.

The study shows national average prices for new construction as well as exiting homes from 1977 to 2008.  The prices have been adjusted for inflation based upon 2008 dollars.  As you review the years, you will be able to identify pricing cycles that span a period of years reflecting both declines and increase of average price.  For the most part, you won't see any wild swings in prices until you get to the year of 2001 when prices began to jump dramatically.  Obviously, there is no surprise with the results of 2008.  At this time, you will have to speculate as to how many years of continuing price declines, the market will experience before pricing turns upwards.

Ron Gorman, Realtor Coldwell Banker Gundaker St. Louis Office 4320 Hampton Ave  St. Louis, MO  63109 Office: (314) 351-6005 Cell: (314) 570-5125 Fax: (314) 667-3016 Email: info@stlcityhomes.com