Friday, July 26, 2013

Just What is Full Recovery To You?

The article I read this morning that prompted this post was "Five More Markets Reach Full Recovery in May"

Well, then it continued to talk about the recession. And, which parts of the country have reached full recovery, which have rebounded more than 200% since the 'recession'.

Okay, in 2005, 2006 house prices were ridiculous. That's it, I'm saying it....out loud! A townhouse was over 600k, a single family home was 800 +. Really? That was crazy. I bought then. (I'm my own worst client ~ I see it, I want it, I buy it)

So then the market crashed. We knew it would, just not to the extent that it did. But, even though a lot of people lost their homes, or people chose to walk away, prices certainly became more reasonable. The average double-income, hard working blue collar people could actually buy a home.

Well, it is what it is, we have been working through all the underwater homeowners, the short-sale, the foreclosures. So, of course, we have nothing to do but RECOVER!

I'll stop spewing and ask a question instead. What is full recovery to you? Do you think home prices, right now, should be where they were 6-7 years ago? Or do you think we should just start with some normal appreciation, slow progress to higher prices. Slow progress so that we can continue to allow the possibility of home ownership to the people that may not make 200k per year, the ones that between the two bread-winners make significantly less?

I believe everyone that works hard, saves their pennies and are genuinely good people deserve the chance at home ownership. But, again, where does this recovery have to end up to have reached full in every market?

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