Are home prices really going down in these 10 cities?
First, we need to separate the hype of that headline with the reality of what they are actually reporting in the article. They are basing this on the median list price – not even the median sales price. As we run through the list and do just a little more research, we will quickly discover that things are not as they seem to believe.
So it this info even worth our time?
All data is good data. In this case, at the very least we can say that something is changing. Change is good… and it also tends to be an indicator that an opportunity is lurking. So while the takeaway for many of the areas on this list will not be that home prices are going down, it will at least give us some insights in what is actually going on and helping us use this list as a starting point to determine if these communities are worth a closer look.
Doing your due diligence.
One key lesson to learn here is that you should always be doing your due diligence. In this case, a strong focus on ‘trust but verify’ has served us well. There are definitely some communities on this list that are worth looking at – but not because of any claim that their home prices are down. While the headline suggests dropping home prices, we find that is not the case and prices are not in decline – which actually could make some of these areas strong candidates for investing or relocating.
Despite our discovery that the headline is at least a misinterpretation of the data, there is still value to be had here. One of the first things we need as buyers and investors is to get clues to where we might want to do some research and this article at least does that. So sit back and enjoy the discussion as we examine the cities on this list and see which ones should be on our own list of potential communities even if they are not going to deliver those lower home prices in many cases.
Check Out The Last Show!
I came across an interesting article where the Chief Economist for the National Association of Realtors suggests that home prices in 2023 will go up by about 1%. We will chat about that and offer up an alternative viewpoint – particularly regarding what is likely to happen right here in Silicon Valley.