Tuesday, July 1, 2008

FOUR STRAIGHT MONTHS OF RISING HOME PRICES NATIONALLY

While the financial world is focused on poorly underwritten loans and sinking corporate earnings, the nation's housing market is now quietly in its fourth month of a significant rally.

According to new NAR statistics, the median home price nationally has risen to $208,600, up 6.6% (or about $13,000) since February. Another indicator, the mean home price (otherwise known as the average home price), has also shown strength and has risen from a low of $242,000 in February to $253,100 in May, a rise of $11,100 or 4.5%.

Altos Research reported that Denver had the fastest rising list prices in the country in May, jumping by 3.7% over April. Chalk it up to fewer foreclosures and significantly higher demand for those discounted homes on the market.

Lowballing the bank is out. Multiple offers are in. For informed and decisive home buyers, great deals still exist. For the indecisive and the ill-informed, frustration awaits.

In this market, foreclosure buyers need to be preapproved in advance, clear about what they want and prepared to take action immediately.