Appreciation

Pre-Bubble:

Between 1987 and 1999 the average appreciation of a home in the US rose by 3.6% annually. This level of appreciation is considered healthy and standard in a good economy.
 

Bubble:

During the time of January 2000 through May of 2007 appreciation was at a high of 7.9% annually.
 

Bust:

Because the market over history naturally corrects itself and seeks balance, we saw appreciation in the negatives. Between June of 2007 and October of 2011 appreciation was at -5.8% annually.
 

Recovery to Date:

Over the last almost two years we have seen annual appreciation of 4.7%. This is great news because it indicates a healthy market!
 

Expectations:

The future is looking bright. If you take a look at what all the experts are saying, we should expect annual appreciation to be at 4.7% annually until 2017. Remember, this is better than the normal appreciation of 3.5%.
 

What This Means to You:

You can take comfort in knowing that the market is recovering and homes are appreciating at healthy levels! If you are currently a homeowner and are wanting to make a move, now may be a great time to sell. If you are thinking about buying this news should encourage you to start the process as soon as possible as home prices are only going up!

Posted on September 9, 2013 at 9:47 pm
Christina Waterhouse | Category: Uncategorized

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