One of the big reasons for the current state of our real estate market has been declining affordability. With home values outgrowing income almost three-to-one from 1992 to 2005, it should come as no surprise that it was unsustainable. While people often refer to our current market as a ‘down’ market because of declining values, perhaps a more accurate description would be a ‘correcting’ market.

Haimar08_6 The silver lining of the current ‘down’ market is the ‘up’ side in terms of affordability.  Housing affordability for March 2008 shot up to the highest figure in a long time!

The Housing Affordailibty Index (HAI) increased because of a decline in sale prices and increased consumer income, in spite of interest rates drifting upward.

Sharlene Hensrud, RE/MAX Results – EmailWebsite

About Sharlene Hensrud

I love what I do! Highly insightful, analytical and creative, there is nothing I love more than helping you find the right solution for your real estate transition. My mission is to serve my clients with honesty and integrity, exceeding their expectations in service and support… and to help others by donating a portion of every transaction to Habitat for Humanity.

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