There are a lot of mixed messages in the media today. The big DUH is that we have been in a recession for a year. Tell me something I didn't know!!! One of the other messages is prices of homes are declining. A third, since I said mixed messages, is that interest rates are falling.
Lets look at Mountain property and declining prices. It is true that in the mountain counties prices have dropped about 10 percent for homes in 2008. But this number is VERY misleading. First off you have different groups of buyers. You have folks who live in the mountains and work here that are buying. You also have folks who are either retiring here or looking for a second home.
The second homes or retiring group are the ones that tend to be more affluent and buy higher priced homes. They are suffereing in the recession. They are being more conservative when it comes to a second home. They are delaying purchasing. Therefore the higher end homes are not selling as rapidly and sellers are lowering prices.
The first group is taking advantage of great inventory and low interest rates. Homes under 200k are selling at a brisk rate. Those prices are NOT declining.
So when you look at the numbers in total, prices are down because the higher end homes are not as big a part of the mix and are declining somewhat in price. If you are looking to buy and are in the market under 200k now is the time. It has been your time all year. With lower rates and some of the great financing deals out there it really is a great time to grab a piece of the dream. These homes are not suffering the decline that others are.
Real Estate is very specific. Not only to your market but the strata of prices within your market. Do not lose out because not all parts of the market are declining. The pro's at All Mountain Realty are here to be your community experts in these complex times.
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Charlie Ragonesi All Mountain Realty Big Canoe and Mountain Blog
On line at www.allmountainrealty.com Call at 706 579 1098
