Tuesday, August 11, 2009

Home Sales Up, Prices Down

According to this story by Jamie Smith Hopkins in The Sun today, home sales “rose throughout the suburbs and particularly in Howard County, up 27 percent.”

That’s the good news.

The bad news is that home prices “were down almost 7 percent from a year earlier, to about $298,000, which is below what they were in 2005. Some economists expect continued declines for a while.”

That matches up pretty well with what Kiplinger had to say this week. The business forecasting newsletter predicts that prices will eventually drop 40% below their peak in 2006 and could take “seven to 12 years before prices regain lost ground.”

There is a good chance that prices could begin to recover in our area considerably sooner due to projected job growth at Fort Meade.


Anonymous said...

Visit Pat Hiban's site for an important scoop. Apparently the homes that are selling are the <$300K homes. Interesting trend.

Anonymous said...

Oh stop. BRAC growth amounts to traffic growth, not home ownership growth. Impact to Howard will be minimal if at all. Have you not read the recent accounts of how all those transferred jobs are preparing for the commute? We're even paying for the commute by providing busses and letting people work from home 60% of the week.

wordbones said...

Anon 7:13 AM,

Actually, in the most recent survey of DISA employees conducted last month found that "more than half of the Agency's headquarters current
employees plan to "move with their jobs" when the agency headquarters
relocates in phases to Fort Meade, Md., in 2010 and 2011."