SESocialMedia

Report Says Homes Not Appreciating

The S&P/Case Shiller Home Price Index showed the largest year over year loss in appreciation since the 20 City Index started in 2000.  Economist expected us to see a decline of 7.1% and the November data shows a decline of almost 8%.

In other housing news this week, Ryland Group Inc. Chief Executive Officer Chad Dreier said on a conference call that "The U.S. housing market is the worst in 30 years.'' 

Ryland, showed a fiscal fourth-quarter net loss of $201.9 million.The day after the conference call, Dreier said the housing market is ``too uncertain'' to offer an outlook and that the company will continue to offer "big incentives'' to potential buyers in California.

Not surprisingly, Lennar Corp., the biggest U.S. homebuilder, reported the largest quarterly loss in its history.  They also reported that new orders for the period ended Nov. 30 fell 50 percent to 4,761.  They also indicated that the  average sales price declined 3.6 percent to $291,000 as the company offered greater sales incentives.  In many markets, including the Triangle Lennar is selling lots at a discount and creating a great opportunity for local builders.  The News and Observer notes that some of these lots are being sold at less than 80 cents on the dollar.

Fortunately for us in North Carolina, for the most part, we are NOT in the appreciation loss business - homeowners here might not be getting 10% - but they should be at least holding their values in housing, and in most of NC we are seeing a modest rise!

For more educated information on home loans in the Raleigh Market call us!

Steve and Eleanor Thorne, 919-649-5058

Comment balloon 4 commentsEleanor Thorne • January 29 2008 08:56AM
Report Says Homes Not Appreciating
share
The S&P/Case Shiller Home Price Index showed the largest year over year loss in appreciation since the 20 City Index started in 2000. Economist expected us to see a decline of 7. 1% and the November data shows a decline of almost 8%. In… more
Durable Goods Strong
share
Today the Federal Reserve begins it's scheduled meeting. The Durable Goods Orders announced this morning was much stronger than expected. This will likely cause rates to go up as part of the "Good News for the Economy… more
Mortgage Bankers Of America 08 Forecast
share
The Mortgage Bankers of America posted an Executive Podcast Forecasting 2008. The comments started with comments addressing how many of our collegues are out of the business, but also points to borrowers who acted in… more
Lowest Mortgage Rates Cary NC
share
Here in Cary, NC we are lucky that we have a strong real estate market - yes there are many new homes "on sale" as New Home Builders have a large inventory - but overall we are LUCKY that we have APPRECIATING property values Now we find… more
WOW! FED LOWERS BY 75 Bps - must be bad!
share
Dark clouds are brewing over the family farm… Prior to the Fed's move a couple of minutes ago - the 10 year was already trading at a level that would allow us to offer 30 year fixed mortgage rates at 5. 0% or lower. I would be… more
Limited Time Offer - Lowest Rate in 08
share
Too Bad - So Sad - rates are not likely to continue hitting the bottom numbers for much longer. That's right - the Economy is suffereing, yet some think that rates could be headed HIGHER! How can that be? The New York Times… more
Crystal Ball for Mortgage Rates
share
I work with my husband I and once bought him a crystal ball for his desk so that he could look at it and advise clients… at least I thought it was cute! In the next few days CNBC thinks that Bernanke should lower rates based on the two sad… more
My BFO on Screwing up SEO
share
NOT THE RESPONSE I EXPECTED… I emailed several agents in our area this morning to say that I was currently using a canned site just like them - and wanted to spend 10 or 15 minutes discussing how they were customizing their site and what widgets… more
Why I think Rates Will Go UP!
share
So the Fed announced that they are thinkin' about maybe lowerin' their rate at the end of the month. That's nice. Here's My Concern With It… They are lowering rates because the housing market is still tanking in many areas of the country (not… more
COUNTRYWIDE is causing rates to go UP!?! update
share
see comments… I've never been a big Countrywide fan - but I've told EVERYBODY that when Countrywide goes under - it's like WalMart going out of business - we're in DEEEEP CaCa at that point. So this just in from CNBC By LESLIE WINES updated 12… more