Slowdown? Real estate still going strong

[David Zephyr]

Real estate markets are off and running again after a slight slowdown earlier this summer.

September 14, 2005: 4:17 PM EDT
By Les Christie, CNN/Money staff writer

NEW YORK (CNN/Money) - The red-hot U.S. housing market, after a typical summer slowdown, has taken off again and Hurricane Katrina contributed to up-ticks in several localities.

According to the National Association of Realtors, with inventory of homes available for sale across the country so tight anyway, rebuilding the Gulf Coast will place additional pressure on all home prices.

"New home prices will be immediately impacted because of increased construction costs," says NAR economist Lawrence Yun, "and that will filter down to existing home prices as well." That's because as new house prices rise, more homebuyers will consider existing homes, increasing the demand (and prices) for them.

Complete story here:

http://money.cnn.com/2005/09/13/real_estate/buying_selling/real_estate_fall_trends/index.htm

[phantom power]

1. That couldn't possibly be because...

500 thousand people are now looking for new homes after Katrina flattened their old ones?

[pitohui]

2. yes there is incredible demand

my first thought was to buy a new home while rebuilding but i was instantly outbid by the huge jump in price after the storm

supply & demand

it's scary

[David Zephyr]

3. It hasn't been a factor, but it is sure to be one now, phantom power.

Houston, which was overbuilt (unlike here in SoCal) was, in my opinion, a very dicey place to invest in real estate, but sadly the tragedy of Katrina will be a boom to many builders there.

Perry Homes of Houston, Texas is one of the biggest home builders there. The owner of Perry Homes was the one who underwrote the "Swift Boat Liars" television ads against John Kerry last year and now, unfortunately, he will stand to prosper further at the misery of the poor folks just east of him.

Still, for Houston homeowners, they will see their home appreciate as a result of the demand.

I had posted here that Dallas, Houston and Atlanta were the most risky real estate markets because of overbuilding and lack of demand. Well, that certainly has changed.

[Rockholm]

4. Still going strong here in Massachusetts.

Some sectors are slowing a bit, but overall prices are rising.

[meganmonkey]

5. Well then why the hell can't I sell my house?

:banghead:

please someone buy my house? please? I don't need this big house. I just want to build a little quonset hut in the woods and dig a well and some geothermal heat and put in some solar panels. And live happily ever after with no debt :)

[RUMMYisFROSTED]

7. Grayling?

[meganmonkey]

8. The first three letters are right

Grass Lake.

[livefrom]

6. I think real estate is going to crash

when all of the ballon payments on these $400,000 houses with 1% and interest only mortgages mature en masse and the borrowers can't afford the refinancing.