Housing Prices Article

So to relate back to my last post on how housing prices are an indicator of the economic recovery, take a look at this article:

http://biz.yahoo.com/ap/090212/metro_home_prices.html?.v=10

Highlights:

• Home Prices continued their decline in the 4th quarter of 2008 (when compared to Q4 2007)
• Sales are up in the hardest hit areas
• Number of foreclosure notices fell when compared to Q3 2008

What does this mean to me?

Well, I think it reaffirms my original thought that we're still a long ways away from a economic recovery. As I said before, stabilization of housing prices is key in so many ways for the economy. Since we're not seeing this yet, I don't think we're going to see any economic recovery.


But hold on, there are some signs of hope. If the number of foreclosure notices fell last quarter, it would be reasonable to assume that the number of foreclosures may also decrease. If that indeed does happen, that would be a great first step in the right direction in stabilizing housing prices. Let's hope we see this soon!

PS: Check out CNBC's documentary tonight on the economic crisis. David Faber is an awesome reporter and I'm sure it'll be very interesting! Check it out at 8 pm EST tonight!



Questions/Comments/Feedback?
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The Standard Disclaimer:

The stuff I just wrote above is my opinion and my opinion only. Please do not take it as fact. Perform all necessary research and analysis prior to acting on anything I’ve said above. This includes consulting with a financial advisor.