REAL ESTATE APPRECIATION

As many of you know, I spend hours upon hours online and on MLS comparing price variances and market changes. One of the interesting changes that I'm starting to see on the MLS is that perspective Buyers are busting out of transactions well within the traditional, 10 day option period. If I were to assume the reason for this trend, I would say that it's apprehension about current market stability. Buyers are aprehensive about proceeding with the entire homebuying process and are canceling well within the option period. Why does this type of data seem unusual to me? Well it may mean that qualified buyers are pulling the plug rather than closing. While online searching thru the MLS, the normal trend for transactions that bust out are 20 to 30 days or more. These are usually transactions where buyers are unable to qualify for desirable mortgage products.

With the current Sub-prime melt-down, one would tend to believe that prospective buyers would be holding properties under contract for longer periods of time while shopping for acceptable financing. This does not seem to be the case as available inventory in the Houston area continues to be on the rise.

I was fortunate enough to view the Houston Real Estate market in the mid 1980's and would encourage anyone thinking of buying in Houston to rest assured that they are investing one of the nation's strongest markets. Both Fortune Magazine and an article in Business 2.0, predict that Houston's market will appreciate in the future and that now is the time to act.

What is Real Estate Appreciation?

Case in point: I sold a home in the Oakforest area 2 years ago for $164,000. The same client asked me for Comps. Even with the all the market turmoil the house's current market value is approximately $198,000 after only 2 years. Sales in the area are strong and properties are staying on the market for short periods of time. My recommendation to homebuyers wanting to purchase in the Houston area is simple. Focus on traditional strong areas such as, Rice Military, Memorial, West University, Oak Forest, Woodlands, River Oaks, Meyerland, Bellaire, Sherwood Forest, Tanglewood, and many more. Click Har MLS for extensive search.