Where Are We?
Through 12/31/07 Through 12/31/06 Difference Percentage
|
|
Units |
Dollars(000) |
Units |
Dollars(000) |
Units |
Dollars(000) |
Units |
Dollars(000) |
| Residential |
341 |
90,085 |
395 |
97,036 |
-54 |
-6,951 |
-15.84% |
-7.72% |
| Land & Farm |
308 |
91,454 |
382 |
98,017 |
-74 |
-6,563 |
-24.03% |
-7.18% |
| Commercial |
22 |
5,677 |
35 |
9,790 |
-13 |
-4,113 |
-59.09% |
-72.45% |
| Total |
671 |
187,216 |
812 |
204,844 |
-141 |
-17,627 |
-21.01% |
-9.42% |
So, the number of units sold is DOWN 21.01% over the same time last year, total dollars sold are DOWN 9.42% and the average price of a property sold in 2007 is UP 10.6% (evidence of statistical anomalies and that not everyone in the game is aware of the raw data and the trends they foretell…this will change).
There are inherent deficiencies in the way our MLS rolls-up its sale figures that can distort the information presented above; however, the trend is clear. If you read previous posts to this blog you will see that this “softening trend” has been addressed and even (if only in limited ways) explained.
The question I am repeatedly asked is “will things get better or worse”? The short answer (in my opinion) is that things will get worse for Fredericksburg TX real estate before they get better. The long answer (one you’ll have to cal me to obtain) is much more nuanced and dependent upon whether you are a buyer or seller (HINT: buyers may like my answer, sellers will not).
I think history will back my opinion that real estate (as a traditional store of value) will consistently out-perform other asset classes. If you are looking for (relative) stability, safety, tax advantages, etc. real estate is the place to be. I can show you how to make money when the market is good and when the market is bad…remember Experience Matters
