The Local Housing Market: Plenty of Wide-Open Doors
The media says we are in a recession. They say the housing market is down, unemployment is up, and consumers are saving and not spending. This may be true when you're looking at the broader picture across the U.S., but here in the Twin Ports it is a much different story.
The local housing market is a flourish of activity.
First time home buyers are jumping on the housing bandwagon and taking advantage of a large $8,000 tax credit, great interest rates, and low home prices. Anything you could desire in a home is available.
For those looking to start investing, there are duplexes needing work available for as low as $39,900 or for $69,900 you can purchase one that needs only some cosmetic work. For the young handymen-and-women out there, you can buy a "fixer-upper" with three bedrooms, two baths, and a one-stall garage for $85,000. The average two bedroom, single family rental unit runs $900/month plus utilities, granting you no equity or pride of ownership. For about the same amount as rent, you can own a home of your own where you don't have to worry about a landlord.
The local news has painted a grim picture of local appreciation being at -3%. However, this number is derived by lumping all the neighborhoods together. Most neighborhoods in Duluth appreciated over the past twelve months (based on the median price and twelve months of sales). That means one or two heavy foreclosure neighborhoods are driving our stats down.
These reports can truly skew the overall market outlook.
If you are interested in finding out if your neighborhood home values went up or down in the past twelve months, contact a real estate agent in your area and ask them to run a spreadsheet report for twelve months of sales in your neighborhood....you might be pleasantly surprised!
So STOP listening to gloom-and-doom news reports and listen to your own community. Now is the time for you to invest in your future.
Added on June 17, 2009- Array
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