Will home values stabilize in 2011? That’s the big question on everyone’s mind at this very moment – will stability come in the next 8 months? From last year’s perspective a lot of people claimed they were sure we’d see a big turn around this year. But those same folks are starting to have some doubts.
Let’s look at some quick stats before we get into what that means for us:
– Housing prices are falling at their fastest rate since the beginning of the collapse.
– average prices are falling about 1% per month.
– 28% of homeowners are underwater on their mortgages.
– I haven’t cut my lawn this week.
If you look at this info, it means one thing: Home values will continue to drop. When we didn’t see these kinds of ridiculous numbers last year, many analysts called the end of 2011 as the turn-around point.
But according to Zillow, there is no way we can expect stability by the end of the year. A lot of factors go into such a prediction, but just to name a few: regular homeowners, not just investors need to start buying; unemployment must drop; I must mow the grass.
And who knows when any of that is likely to happen! So this means first of all, never listen to the experts! Also, as an investor you’ve still got lots of golden opportunities to get in the game. And finally, if you want to see a serious turn around in the near future, grab a lawn mower and show up at my doorstep!