Bond In Investing Savings The once-hot housing market is still warm to the touch, say real
estate experts. But New Jersey property owners should expect a
slowdown in sales, they say, along with a slower appreciation in
property values over the coming year.
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Bond Investment Toledo Toledo "It's been a record year across the country in terms of the
number of
homes sold and the average sales
price," said John Burke, president of the 1,550-member Mercer
County Association of Realtors.
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a house.
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Bond In Investing Stock In the spring of 2002, it took about three days to sell a house
and by the end of the summer it took about 60 days for a sale, said
Jeffrey Otteau, owner of the Otteau Appraisal Group, an East
Brunswick-based real-estate appraisal company.
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Municipal Bonds Investment However, many of the conditions that made the past two years
good for home sales are still in place.
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Bond Terms Trading "For the first time in history a weak
economy translated into
increased home sales up through the summer of 2002," said
Otteau.
Bond Debt High In Inside Behind the quicker time frames for sales were declining interest
rates, which translated into more purchasing power for home buyers,
he said.
Bond Greenville Greenville Otteau said mortgage interest rates dropped about 1.25 points
during the year, allowing buyers to bid up the price of homes
without a commensurate increase in their monthly mortgage
payments.
Trading Stock And Bonds Otteau also cited a shortage in housing as compounding the
explosive demand in the market. During this boom period, there were
20,000 fewer housing starts annually compared with the last boom
cycle in the 1980s, he said, adding that because many corporations
stayed in the state during tough times, potential housing inventory
remained occupied.
Bond Investing Municipal For example, the brokerage company Merrill Lynch saw its
employment numbers fluctuate during 2002, but remained the area's
largest employer. The company employs about 7,500 people in the
Princeton area, down from 8,000 in 2001.
Basis Bond Finance Hill During the past year, 600 employees were transferred to the
Hopewell Township campus from Denver, where the brokerage closed an
office early in 2002. The company also has been consolidating local
operations, moving jobs out of Plainsboro and West Windsor, and
trimming thousands of jobs companywide.
Bond Explained Terms Trading Merrill Lynch's decision to maintain a strong presence in the
Princeton area has helped keep housing off the market and support
area prices.
Bond Business Investing Stock Realtors also said a volatile stock market sent money into the
bond markets, which further pushed rates down and increased demand
for real estate.
Bond Houston Houston "All these things were playing out up until this summer," said
Otteau.
Stock Bonds Day Trading Several factors have contributed to the softening of the market:
Sellers have been expecting increasing prices, but stabilized
interest rates have led buyers to resist asking prices.
Bond Corporate Investing Otteau predicts home prices will rise from 3 percent to 8
percent in the coming year, a significant slowing compared with the
sizzling 10 percent to 15 percent increases seen in the last two
years.
Investment Bond Uk A strengthening economy could mean rising mortgage rates, which
would lower housing affordability, Burke said.
Bond Trading Strategy Demand for real estate is likely to remain high over the next
year because New Jersey is one of the most densely populated areas
- a fact that inhibits affordable housing.
Bond Fixed In Income Investing "There are areas where housing is affordable but they are
becoming fewer and fewer," Burke said, adding that in New Jersey it
is difficult for a couple to afford a home without dual
incomes.
Bond Dayton Dayton Investment Affordable housing can still be found in Burlington County,
Burke said, describing the area as a suburb of both New York and
Philadelphia. "People are commuting farther to get affordable
housing," he said.
Bond Management Market Risk By Laurie Whalen
Trenton Times - 1/30/2003
Topic: Sprawl
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