Jacksonville Home Values 2011

Home Values continue to drop nationwide but there are so many conflicting news stories about the housing market, it's hard to know what is actually happening.  This graph from Zillow, shows the run up in values and then the fast decline of values to current day 2011.  I like this graph as it doesn't interpret housing starts, foreclosure filings, mortgage delinquencies, pending sales, etc.  It just shows the values, which is a sum result of all those other statistics.

What does this mean for Jacksonville Home Owners? Nothing.  If you own a home, you've known for the last 4 years that your house is worth less and less year after year.  Not trying to be cold here, it's just the facts.   If you don't want to sell, no worries, you don't realize the loss in inflated equity and you are now back to a 2003 value. There are reports by just about every economist out there that mid to late this year we should see a full bottoming out in prices.....I know, I know, they said this last year.

What does this mean for Jacksonville Home Sellers? Competition!  As home values have declined, those owners recognizing that you must price aggressively from the beginning and have a house in pristine condition inside and out, have sold very quickly.  The other sellers just sit on the market for 6 months, a year, two years, etc.  Too many years, we the public got into expecting absolute top dollar for our real estate, and now it is very painful for most of us to get back to reality of competition in an overly saturated real estate market.  The good news:  homes are selling, and fast!  I personally have almost completely depleted my inventory of listings down to just a small number of active listings.  Many other professional listing agents are having the same success.

What does this mean for Jacksonville Home Buyers? There is a general feeling that prices are at their lowest and it's a great time to buy.  In the last few years, if you were to announce to your family and friends that you were buying a house, most would tell you that you're crazy as the bubble is bursting.  That's all changed.  I now get calls from first time buyers who are being pushed into the market by their family and friends.  Total reversal.  If you are lucky enough to be in the market for a home in Jacksonville, Ponte Vedra, Orange Park, or St Augustine, you have many things on your side.  Inventory is high which will give you plenty of choices.  Interest rates remain extremely low so your buying power is greater.  Prices are settling back to pre-bubble pricing.  And last but not least, Sellers are getting aggressive on pricing and they are improving the condition of their homes.  It's a great time to be a buyer!