My wife work for Putle Homes Mortgage Banking division.......they are pojecting a decrease in home sales next year. They aren't replacing some empolyees that are quitting or are fired. They keep only the A paper and broker out all the BS loans to willing brokers. Here in Denver, we have had a soft market for some time now. We moved here knowing that, our market appreciates about 2-3% per year so while we won't have a pop, I could see us having an even more difficult time selling if we decide to. I was encouraged to take an ARM or an adjustable when we purchased a couple of years ago, but I wouldn't allow us to be suckered into that.
Markets like Denver and other slow grow markets will probably be OK. They dont move much and have a relatively stable housing market = although denver has seen appreciation balloon as well, particularly in the areas in the foothills up I 70. The problem areas are places where over the last 7 years there have been 300-500 percent gains. Anyone that did not take their gain in these markets and doesn't plan to hold for several years is in for a rude awakening come next year.
TOL Ceo must be getting paid well, otherwise the guy would be making a killing in used car sales. spoke again this morning.
I agree..sort of. Yes the fastest growing areas will be hardest hit...but colorado is pretty much up there. no Fl, CA, or NY..but high. My sister had a 1600 sq fot house for $350 that was no big deal. Then you have places like Aspen....I used to spend all my summers there so i am pretty familiar with colorado. I think COlorado my have a bit of a set back as well.
set back yes but not as severe as the areas where there has been much more speculation ... this is what I meant by "OK " ... a modest reduction.