My pleasure – buyorhold. Any neighborhood which has been built in the last 5 years, or is still being built (units available) is going to get creamed. The reason is that there is no underlying stability because everyone just bought. That is where you will find investors, folks who didn’t realize the commute was gonna be tough, folks who didn’t realize that they were too much out of pocket, etc.
The builders control these areas – they will keep offering incentives which will kill the resale market – and since as I wrote above there will be more and more resales. There are also no fixer ups, no tear downs, no remodels so there is only new houses. This also creates an EASY comparison model, makes it too easy for future buyers to compare properties. This doesn’t work in the sellers favor in the future because the comps are too close.
Good luck and make your own decision. I don’t want to steer you wrong – but I think you will be very happy for the next 2+ years if you don’t buy.
By the way, as it is a new area – there will be LOTS of rentals. They don’t always come on quickly but I think that there will be more and more of them for people who need to recover some of their out of pocket but don’t want to sell figuring prices will go back up.
I would bet (I am betting with my own situation) that prices will not go up.
