BRIGHTER PREDICTIONS? - AT LEAST ONE

07.30.09

Hot on the heels of last week's column's opening line, predictions of a 'brightening' real estate market, at least in nearby NY, made local news headlines, Friday of last week.

Real Estate agents queried for the news item commented on a 'rise' in activity and a rise in offers, both precursors to closings of course. No mention was made of the price range that this activity increase encompassed but most likely it was/is in the $500K range or LOWER. The best values are definitely found in this price category.

This supported a featured story in the New York Times a couple of weeks ago about real estate purchases going on in, and around, the Catskills and other villages, west of the Hudson. All the sales activity as highlighted in that article hovered around deals below $400,000.

What this tells me is that there is a potential 'comfort level' in taking on mortgages of up to $300,000. Therefore, unless cash is the alternative for bigger properties, this is where most meaningful activity may exist in the coming weeks.

The news closed with the thought that the second half of the year, which we are already in, might well counter my closing thoughts last week. Wouldn't that be nice, even if it is only in a very narrow part of the market.

©2009 R. Leech features.