Alhambra Real Estate
Alhambra Homes For Sale - Investing in Real Estates of Alhambra, CA

2008 Has Been a Wild Ride

By Lee Lieberg

The year is almost in the books, and what a year it’s been. I have the feeling that 2008 is going to go down as a year we will always remember. One of those years that when mentioned, will be quick to jog a memory. The historically groundbreaking election and the crash in the financial market are certain to headline the year.

But not lost in those stories, will be the role of the real estate market, which is where the downturn in the economy made its debut. Real estate in 2008 will be remembered for record foreclosures and steep declines in value.

Locally, we began the year anticipating declines due to concerns about financing, reduced demand and an increased supply. Those concerns proved to be accurate, though underestimated in terms of the financial impact.

Alhambra has been spared to some extent as there are fewer first time buyers and more buyers that are trading up. The first time buyers have been most affected by changes to financing.

Foreclosures in Alhambra were just starting to show up a year ago, a trend that gained momentum, but not to the extent of some markets. It looks like we will see about 10 foreclosures from those falling into default in October.

That number is lower than some recent months, and manageable in quantity. However it is difficult to conclude that the worst of the foreclosures are behind us, as both State and Federal Governments have been tinkering with the laws affecting foreclosures.

The end of this year brings us mixed data. Single family home prices are 7 months past their low and the number of homes listed for sale is still down. However condos are now at the lowest values we have seen in several years.
 

*Data was obtained from California MLS Alliance and deemed to be reliable. Lee Lieberg can be contacted at lee.lieberg@dilbeck.com.