Case Shiller Boston Update

Well, if my ego weren’t big enough, it’s moments like this that help inflate it.   Back in April, I was stupid enough to make a market prediction, and put it in writing:

“I honestly believe that 3 months from now, this same graph (with new data), will look worse than it does now….. short of some brand new unforseen fiasco, we are currently looking at the worst of the market”

- Moi,  April 7th 2008

So from the cities I’ve been looking at, Boston, Chicago, and New York have all seen slight increases since they appear to have “bottomed out” between April and May (Achem!!!!  3 months later, I rule..).  Other cities that have seen bottoming out / price increases include:

Denver, CO,   -  Atlanta, GA  -   Chicago, IL  -  Boston, MA   -  Minneapolis, MN  -  Charlotte, NC   -  New York, NY  -   Cleveland, OH    -  Dallas, TX

 

Unfortunately, that still leaves 11 out of the 20 cities followed by the Case Shiller with decreasing home prices.  However,  for 7 of those Cities (as well as the composits as a whole), the rate of negative change in the prices, has been consistently decreasing as well for the last 4 months, which implies that they will be soon to follow the flattening/upward trend.

Which still leaves the somewhat consistent losers…. Phoenix AZ, San Diego & San Fransisco CA, and Tampa FL.    Boooo you guys… BOOOOOOOO!!!!!

Boston, you too can now own…

… in honor of the Celtics Win, your very own one of a kind, 2008 Larry Bird Replica Mustache!!!!

Yup… this one has nothing to do with Real Estate, but  a buddy of mine put up an auction on Ebay for the One of a kind Replica.  And how could I not do my best to add to the hype.

The bidding started at 99 cents and is currently riding the wave up to a whopping $8.50.  Mostly due to the excellent sales pitch as you scroll further down on the item listing.  I mean who doesn’t want to slap someone elses facial hair on their upper lip to improve their jumpshot???  I suspect the attention it got from a few other sites didn’t hurt either….

 The auction only has a week left, so Bid while you can!!!!!

Boston Home Prices - Case Shiller update

More recent Case Shiller data came out at the end of May.

And of the 20 Cities it looks at, The biggest losers over the previous month are…..

1) Miami with a 4.7% loss
2) Las Vegas at a close second, down 4.6%
3+4)San Fransisco and Los Angeles tied at a 3.7% loss
5) And the best of the worst five award goes to Tampa down 3.5%

Only two cities were up, Dallas Texas and Charlotte North Carolina. While Denver and Cleveland deserve honorable mention for prices dropping the least amount.

Boston, MA Real Estate prices were down 1.1%, falling back to their January 2004 prices.  And Detroit is the only City to fall to it’s 1999 prices (or even come close).

Graph time???…. Oh yeah….

Real Estate to be rescued by Fannie Mae?

Photos: 66-year-old woman boxer?

And she’s comming out swinging!!!  In an attempt to combat the current housing market conditions, good old Fannie has agreed to start purchasing and guaranteeing 5% down loans (and some 97%LTV) across the board, even in declining markets.  Effective as of June 1st, 2008.

“Across the board” doesn’t mean that Real Estate speculators will be getting the same deal,  it’s only for Single Family Homes which are primary residences.  But still, this is a HUGE improvement over the prior policy of requiring a larger downpayment for areas that were considered to be declining markets,  which was just further choking much needed potential homebuyers out of the market.

While it’s not a guarantee that everyone will qualify for 5% down loans, it’s a great indicator that we are seeing the end of the kneejerk reaction to the Mortgage Crisis we’ve been living through in the last year, and that the worst is already behind us.

Boston MA Real Estate Prices

And the newest Real Estate data from the Standard and Poors Case Shiller index is out.  Because of the delay, the data is up through February of 2008.

What this means is that the difference in sales prices from twice prior sold single family homes only, has decreased across the board in the chosen cities above for the month of February.  Unfortunately it’s not just the above city’s that saw a decrease, but every single city measured by the S&P:CS saw a decrease in prices in the month of Feb.  Detroit has even fallen below it’s 2000 levels.

Considering the bad news that came in March, I don’t expect next months release to look much better…