Last of the Red-Hot Markets?

We’ve posted here several time that market trends and your personal situation do not necessarily coincide. Just because nationally things are a little dicey with real-estate doesn’t mean anything about your house. And now, let you think we make these things up, here’s a great article from CNN Money. Here’s my favorite quote, mostly because it matches exactly something I’ve been saying here for months:

If you’ve owned a house for a while, you don’t have to worry. The gains you’ve enjoyed in recent years are huge compared with recent price downturns.

Even if the median price of a single-family home in Miami, now $393,000, falls by 20%, the price on that house would still be about $20,000 higher than it was at the end of 2004.

“With all the sound and fury associated with the recent downturn, in the places with the most dramatic price declines, they’ve only erased a few quarters of appreciation,” says OFHEO’s Leventis. “Long term, prices still tend to go up.”

Amen.

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