Housing Turnaround?????

[chasineyes]

Wondering if anyone else has noticed an increase in building activity. In shakopee it seems like their throwing up houses like it was 2004. All 4 lots behind me are staked out and most of the development by the high school is staked and being dug. I guess at $180,000 the price is finally getting right?

[DREZLER]

I would say that most likely what your looking at is just a small spike where somebody has been able to purchase a few lots for very cheap, and then with labor prices so low, is able to sell a lot of square footage at a very reasonable rate. I would definetly not say that there is a turn around but a few builders who are capatalizing on today's cheap lot prices and labor prices are able to move a few houses. Unfortunatley, at the prices they are selling houses at there is very little money in it for them, and even less in it for their subcontractors, many of whom will not make enough money this summer to survive another terribly slow winter.

[TR21]

Chasineyes,

You're right there is a little bit of movement going on but the builders finally had to realize that the artificially inflated prices they were asking for those homes 3 and 4 years ago isn't going to work anymore. They are starting to set their homes at a reasonable price point that will eventually lead to some houses being built and bought. Now if the banks would release some of their "borrowed" money and start things moving we could eventually get out of this mess.You really don't realize how much the housing industry drives this country until you experience what we have had to deal with the last year and a half.

[BoxMN]

Two people I know of have just sold their homes in 8-10 days. These are decent but not fancy homes, and not real expensive. One is moving to bigger house, the other was a rental and he is buying another rental.

It just surprised me it only took that amount of time. Hopefully pricing is back in check and things will get better. Once the bank owned properties get off the market, I thik it will come back even better. Not like 2004 of course but hopefully get normal again, for all our sakes...

[fishorgolf]

I have noticed that allot more FOR SALE signs have SOLD on them lately.

[Tom7227]

Series in the StarTribune started yesterday about the recession and how things are going to change and maybe stay that way. Intersting read.

The decent starter homes are going well according to a realtor friend. The foreclosure data continues to make things look grim but I think those numbers should be isolated out of the info to give people a real picture of what is going on. Have to break this fear hold somehoe.

[echo2010]

The houses in my development have sold within 3 weeks of being for sale. Those were priced in the 200-300 thousand range. I have one being built behind me and digging for another started.

I live in a small town in Iowa and was lucky to get the small house in the biggest neighborhood.

When my home was built houses had to be worth 85,000 to be in the area...9 years ago. Now a house has to be worth 200,000.

Yay me!

[rcook72]

Noticed homes in the neighborhood next to ours had a bunch of sold signs in the last 3 weeks. My neighbor sold her house in 6 days in the mid 200's. She priced it a little low to move it but I dont think she was hurting for $ by any means. Hope the new neighbor is able to keep up the yard and gardens that she put about 40hrs a week into.

[Scott K]

I have had 3 houses sell in my neighborhood in the last month, 2 of them have been empty for over a year.

[deerminator]

I think that the market is definitely seeing more action. However, I wouldn't expect prices to begin stabilizing or moving upward unless unemployment numbers stop rising. Even then, when those unemployed people find new jobs, they're more than likely going to get paid less, which means they can afford less and so housing prices will match that trend.