The Wall Street Journal had an article on Tuesday worth considering. It revisits the subject of the tax credits to home purchasers offered by the Government back in 2009 and 2010 and analyzes how that all worked out.
Apparently, for many, not too well:
“Zillow.com, the real estate information company, says the average price of an American home fell again last month to $171,500 — the lowest level in eight years. That’s down 4.4% from a year ago, although it’s been about stable over the summer.
Now compare the average prices with those that people paid in 2009 and 2010, when they took advantage of the credits.
Zillow tracks prices closely in 157 cities and major towns around the country. Humphries says that in 110 of those, prices today are more than $8,000 lower than they were in June 2010.
The picture is even worse when you compare prices today with the average for the entire year-and-a-half that the credits were in place. By that measure, prices have fallen by more than $8,000 in about 130 cities and towns.”
The full article –
http://www.marketwatch.com/story/the-great-26-billion-real-estate-swindle-2011-11-08
