The above graph charts the raw numbers and this graph below shows the year over year percentage change in home values for Portland, Seattle and the 20 city composite.
Tuesday, August 25, 2009
Portland Home Values: Case-Shiller June Numbers
The June Case-Shiller numbers are in and the news is good for Portland: a healthy jump in home values from the month before. No one should get too excited, we are still well down from the peak, the numbers could reflect simply a seasonal bump, and there are still many out there who predict housing prices will continue to fall especially due to the rising foreclosures arising form unemployment. Nonetheless, it is another indication that we are, hopefully, nearing the bottom of the recession. It is also an indication that efforts on the part of the Fed and the Obama administration to stir a little life into the housing market has worked. Mortgage rates are exceptionally low and it appears that many are choosing this opportunity to become first-time homebuyers. All in all, I expect that the erosion in home values is essentially over, we may see a little more in the fall and winter, but nothing too substantial, but it will be a few years before any really healthy appreciation happens again.