According to Fiserv, Inc., markets that were most impacted by the house bubble bust, including metro areas located within California, Florida, Arizona and Nevada, won't see home prices return to pre-crisis levels for another 15 years. Additionally, major urban centers, such as the great Northeast region as well as the industrial Midwest, may need to wait at least a decade until prices return to their earlier peaks.
Soaring levels of unemployment affiliated with the recession and the steep decline in manufacturing jobs has greatly reduced housing demand and prices in many metro areas, including Michigan, Indiana and Ohio. Such markes, at the epicenter of job losses in manufacturing, are not expected to return to peak levels for another five years, and potentially more than a decade.
Although many parts of the country were negatively affected by the housing bubble, some markets that never experienced a large decline in prices are well positioned for a quick comeback within the next few years. These cities include, but are not limited to, Pittsburgh, PA; Columbia, SC; and several metro areas in Texas, Washington and upstate New York.
What these statistics indicate is that this market holds many unforeseen opportunities to both buyers and sellers alike. Homebuyers are in position to receive many incentives to purchase their first home, such as federal and state tax credits and record low interest rates. Likewise, if purchasing a new construction home, home builders are very eager to negotiate purchase price and additional credit. Sellers, on the other hand, have less competition with low inventory driving prices up and bringing multiple offers in. Homeowners who purchased their residence at the peak, depending on the area in which you purchased (Remember, not all cities were equally impacted; there still exist pockets of thriving communities.), may find it more cost effective to cut the losses short and unload an unprofitable property, assuming you've already spoken with a tax advisor and lender.
Soaring levels of unemployment affiliated with the recession and the steep decline in manufacturing jobs has greatly reduced housing demand and prices in many metro areas, including Michigan, Indiana and Ohio. Such markes, at the epicenter of job losses in manufacturing, are not expected to return to peak levels for another five years, and potentially more than a decade.
Although many parts of the country were negatively affected by the housing bubble, some markets that never experienced a large decline in prices are well positioned for a quick comeback within the next few years. These cities include, but are not limited to, Pittsburgh, PA; Columbia, SC; and several metro areas in Texas, Washington and upstate New York.
What these statistics indicate is that this market holds many unforeseen opportunities to both buyers and sellers alike. Homebuyers are in position to receive many incentives to purchase their first home, such as federal and state tax credits and record low interest rates. Likewise, if purchasing a new construction home, home builders are very eager to negotiate purchase price and additional credit. Sellers, on the other hand, have less competition with low inventory driving prices up and bringing multiple offers in. Homeowners who purchased their residence at the peak, depending on the area in which you purchased (Remember, not all cities were equally impacted; there still exist pockets of thriving communities.), may find it more cost effective to cut the losses short and unload an unprofitable property, assuming you've already spoken with a tax advisor and lender.
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