Last login: Wednesday, June 1, 2011
As a Realtor in North San Diego I can say prices are still dropping, but something most people don't realize is these short sales and foreclosures are TRASHED. I'm amazed people actually lived in those conditions. I've been in homes that needed $20,000-$30,000 of repairs just to make them habitable. A normal sale home is typically turnkey, so I do see the point of Karevell's comment about properties that are not on the market vs the distressed properties driving prices down.
The Case-Shiller Index is based on homes that did sell, and what is on the market are not only financially distressed properties, but cosmetically and even structurally distressed homes that require significant improvements that are not captured in the sales price. Once the cost of repairs has been done, the true cost of the house is then presented. But that's not in the index.
June 1, 2011 at 3:33 p.m.
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