The State of the Real Estate Market with Ilyce Glink on the Clark Howard Show June 6, 2011:
According to an ever-growing number of experts, including myself, the state of the real estate market is sobering. The news last week about where home prices are going is frightening.
Home values nationally are back to 2002 levels, and in Atlanta, the situation is even worse, with prices matching what consumers might have paid in 1989. The latest Case-Schiller Home Price Indices Report includes one depressing statistic after another.
Beyond the depression in market value, what happens you have three to five years of record-low housing construction? There are presently 180,000 new homes for sale. That is a ridiculously low inventory and yet there’s just no demand. For the reduced number of buyers, who want homes, it seems the only way to qualify for a loan is if you don’t actually need it, such is the state of tightened credit.
Where does it all end? My guests and callers on today’s show offer their thoughts.