Hot Markets

Monday, the National Association of Realtors reported that the states with the highest appreciation rates last year are being hit the hardest with decreasing sales this year.
Existing home sales in the five hottest markets in 2005 are way down this year and wouldn’t you know, some states that didn’t get any recognition in the past are making real estate news this year as the most active.

Housing sales have dropped 22 percent in Arizona this year. California is off by 19 percent, Nevada is down 15 percent and the District of Columbia is down 15 percent from last year. So guess what states are seeing a sales boom?

The hot markets are New Mexico, Louisiana, Montana and Mississippi all with a 15 percent increase in the number of existing home sales.

Price continues to climb, albeit, less than 2005. The median home price appreciation in all 149 major metropolitan areas is showing a 10 percent increase. Phoenix had the highest year-over-year home-price gains at 38 percent down from the 48 percent increases between 2004 and 2005.

If it weren’t for air conditioning do you think that dry west or humid south would be so attractive to so many?