Today on our RE grad call was our Question and Answer Call. This is an open forum on students and topics to be brought up to be discussed. We discussed many items today. One area that is of high interest at this date is how the market made improvements when it came to price of residential homes in 2013. It did raise in 2013 but it was just in certain quarters.
The facts from CNNMoney are:
“The S&P/Case-Shiller Home Price Index ended its best year since 2005,” says David M. Blitzer, an S&P spokesman. “However, gains are slowing from month-to-month and the strongest part of the recovery in home values may be over.”
Prices were up 11.7% in the first nine months of 2013, but fell 0.3% in the fourth quarter.
Prices are still down nearly 21% from their peak set in the second quarter of 2006. And the latest housing news has been bad.
January existing-home sales fell to an 18-month low. And home construction in January recorded the biggest month-over-month drop in seven years, sending builder confidence down to its lowest level since May.
The sale of new homes has also declined, falling 7% in December, the most recent month for which data is available.
As investors we want to be aware of the market. We need to know this so that we can buy and sell properly based on pricing. We can make money in any market but we do need the facts of what it has currently been doing.
Happy Investing!
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