U.S. Housing prices down 9% since February
Posted by
Admin
,
No Comments
">
Sunday, June 26, 2005
The median house price in the United States plunged 6.5% in May to $217,000. In February of 2005, the median price of a home was $237,300.
The Economist newspaper said in its June 16th issue; “In other words, it looks like the biggest bubble in history.” by way of reference to what is happening with housing prices in the USA and much of Europe.
Japan provides an example of how a boom can turn to bust. Property prices have dropped for 14 years in a row (40% from their peak in 1991); and yet, the rise in prices in Japan during the decade before 1991 was less than the increase over the past ten years in most of today’s “housing boom” countries.
The total value of residential property rose by more than $30 trillion over the past five years in developed economies, an increase equivalent to 100% of the combined GDPs of those countries. This increase dwarfs all previous house-price booms and is greater than the global stockmarket bubble in the late 1990s. Much of the recent housing activity is being driven by speculative demand. The National Association of Realtors (NAR) reported that 23% of all American houses bought in 2004 were for investment, not for owners to live in. Another 13% were bought as second homes. NAR also found that 42% of all first-time buyers made no down-payment on their home purchase last year.
Many investors are buying solely because they think prices will keep rising, which is a warning sign of a financial bubble. In Miami, Florida, as many as half of the original buyers resell new apartments even before they are built, and properties can change hands two or three times before somebody finally moves in.
Britain’s Royal Institution of Chartered Surveyors (RICS) reported prices have been falling for ten consecutive months. Forty nine percent of their surveyors reported falling prices in May. This was the weakest report since 1992 during Britain’s previous house-price bust.
No Comments
- See More About:
- Best Ute Racks Melbourne
byAlma Abell
Foundation repairs start as a DIY project for some. Left unattended, they turn into a professional fix. One of the first things you can check here is that your gutters and downspouts are working properly. If there are leaves, debris or moss in your gutters, clean them out and run water through them to wash any leftover mud of dirt out and that the water goes completely down at a steady pace. Clogged gutters can allow water to roll out on the ground, adding water too close to the house and putting pressure against the foundation. Next, be sure your gutter water is running away from the house, splashing down at the corner and not several feet from the house also adds pressure and stress to your foundation. Your drainage pipe, whether above or below the ground, should slope 6 inches for every 10 feet of drainage pipe.
[youtube]http://www.youtube.com/watch?v=0D2o8F2MOuI[/youtube]
If you have cracks in your walls more than 1/4 inch thick in your basement, more than likely the culprit is water damage to your foundation, and you need to call a professional from one of the Foundation Companies in Houston TX. These cracks will only grow over time from the pressure of water, and more cracks in other locations will appear.
Sometimes drains become clogged around your house putting pressure on the walls of your foundation, creating small cracks and tiny trickles of water. Sticking epoxy in the hole seals off the water, but does not resolve the larger issue. The big problem is, the water then begins to push the walls of your foundation, creating even larger cracks and leaves your home vulnerable to a crumbling basement and mold issues. A foundation that has become bowed takes additional work, which can include beams placed on the inside, and reconfiguration of french drains that normally run around the foundation of your basement.
You can find Foundation Companies in Houston TX with experienced personnel to help you correct problems of cracking, leaking basements and can give you the piece of mind that your home will be there safely for years to come. Your foundation is the heart of your home and is the most important piece of a safe and structurally stable home. For more information, you can check here.
| Wikinews Audio Briefs Credits |
|---|
| Produced By |
| Turtlestack |
| Recorded By |
| Turtlestack |
| Written By |
| Turtlestack |
| Listen To This Brief |
Problems? See our media guide. |
