{"id":564,"date":"2020-03-04T15:53:08","date_gmt":"2020-03-04T15:53:08","guid":{"rendered":"http:\/\/phphouses.com\/blog\/?p=564"},"modified":"2020-03-04T15:53:08","modified_gmt":"2020-03-04T15:53:08","slug":"real-estate-soaring-not-like-2008","status":"publish","type":"post","link":"https:\/\/phphouses.com\/blog\/real-estate-soaring-not-like-2008\/","title":{"rendered":"Real Estate Is Soaring, But Not Like 2008"},"content":{"rendered":"
\"\"

Real Estate Is Soaring, But Not Like 2008<\/p><\/div>\n

Unlike last year, the residential real estate market kicked off 2020 with a bang! In their latest\u00a0Monthly Mortgage Monitor<\/a>,\u00a0Black Knight<\/em>\u00a0proclaimed:<\/p>\n

\u201cThe housing market is heating entering 2020 and recent rate declines could continue that trend, a sharp contrast to the strong cooling that was seen at this same time last year.\u201d<\/em><\/p><\/blockquote>\n

Zillow<\/em>\u00a0revealed<\/a>\u00a0they\u2019re also seeing a robust beginning to the year. Jeff Tucker,\u00a0Zillow Economist,<\/em>\u00a0said:<\/p>\n

\u201cOur first look at 2020 data suggests that we could see the most competitive home shopping season in years, as buyers are already competing over\u2026homes for sale.\u201d<\/em><\/p><\/blockquote>\n

Buying demand is very strong. The latest\u00a0Showing Index<\/a>\u00a0from\u00a0ShowingTime<\/em>\u00a0reported a 20.2% year-over-year increase in purchaser traffic across the country, the sixth consecutive month of nationwide growth, and the largest increase in the history of the index.<\/p>\n

The even better news is that buyers are not just looking. The latest\u00a0Existing Home Sales Report<\/a>\u00a0from the\u00a0National Association of Realtors<\/em>\u00a0(NAR) showed that closed sales increased 9.6% from a year ago.<\/p>\n

This increase in overall activity has caused\u00a0Zelman & Associates<\/em><\/a>\u00a0to increase their projection for home price appreciation in 2020 from 3.7% to 4.7%.<\/p>\n

Are we headed for another housing crash like we had last decade?<\/strong><\/h4>\n

Whenever price appreciation begins to accelerate, the fear of the last housing boom and bust creeps into the minds of the American population. The pain felt during the last housing crash scarred us deeply, and understandably so. The crash led us into the Great Recession of 2008.<\/p>\n

If we take a closer look, however, we can see the current situation is nothing like it was in the last decade. As an example, let\u2019s look at price appreciation for the six years prior to the last boom (2006) and compare it to the last six years:<\/p>\n

\"\"

Annual Home Price Appreciation<\/p><\/div>\n

There\u2019s a stark difference between these two periods of time. Normal appreciation is 3.6%, so while current appreciation is higher than the historic norm, it\u2019s certainly not accelerating beyond control as it did leading up to the housing crash.<\/p>\n

Today, the strength of the housing market is actually helping prevent a setback in the overall economy. In a recent\u00a0post<\/a>, Odeta Kushi,\u00a0Deputy Chief Economist<\/em>\u00a0for\u00a0First American<\/em>\u00a0explained:<\/p>\n

\u201cWhile the housing crisis is still fresh on the minds of many, and was the catalyst of the Great Recession, the U.S. housing market has weathered all other recessions since 1980. With the exception of the Great Recession, house price appreciation hardly skipped a beat and year-over-year existing-home sales growth barely declined in all the other previous recessions in the last 40 years\u2026In 2020, we argue the housing market is more likely poised to help stave off recession than fall victim to it.\u201d<\/em><\/p><\/blockquote>\n

Bottom Line<\/strong><\/h3>\n

The year has started off very nicely for the residential housing market. If you\u2019re thinking of buying or selling, now may be the time to get together to discuss your options.<\/p>\n

Contact us:
\nPHP Houses
\n142 W Lakeview Ave
\nUnit 1030
\nLake Mary, FL 32746
\nPh:\u00a0(407) 519-0719
\nFax:\u00a0(407) 205-1951
\nemail:\u00a0info@phphouses.com<\/p>\n

Let\u2019s Connect:
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\nInstagram<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Real Estate Appreciation Finish Reading Real Estate Is Soaring, But Not Like 2008<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":565,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[69],"tags":[59,38,15,10,18,27,91,86,83,49,42,23,40,63,12,48,28,17],"_links":{"self":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/564"}],"collection":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/comments?post=564"}],"version-history":[{"count":1,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/564\/revisions"}],"predecessor-version":[{"id":567,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/posts\/564\/revisions\/567"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/media\/565"}],"wp:attachment":[{"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/media?parent=564"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/categories?post=564"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/phphouses.com\/blog\/wp-json\/wp\/v2\/tags?post=564"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}