Think-Realty-Magazine-December-2018

MARKET ANALYSIS

Seattle, WA

LOCAL MARKET MONITOR

POPULATION (2018)

HOME PRICE INCREASE (1-YEAR)

JOB GROWTH (1-YEAR)

POPULATION GROWTH (3-YEAR)

PRICE ABOVE INCOME PRICE

LOCAL MARKET MONITOR

2,114,801

17%

3.2%

7%

9%

Las Vegas, NV

676,909

16%

3.7%

7%

25%

Boise City, ID

15 Housing Markets Marked “HandleWith Care” MARKETS WITH HUGE HOME PRICE INCREASES THAT STILL HAVE POTENTIAL.

450,890

14%

3.7%

5%

26%

Reno, NV

2,889,626

14%

3.2%

5%

32%

Seattle, WA

1,976,836

13%

3.1%

2%

26%

San Jose, CA

410,091

12%

1.3%

6%

29%

Salem, OR

1,629,951

12%

1.7%

4%

35%

San Francisco, CA

by Ingo Winzer

697,856

12%

3.9%

6%

9%

Colorado Springs, CO

any investors choose to shy away from hot markets because the risks seem to outweigh the possible rewards. At some point that becomes true: Eventually hot markets cool off or even crash. However, this doesn't mean you shouldn't invest there. You just have to be more careful about it. And if you are, you can look forward to good returns for years. Remember that rapidly rising home prices really just mean strong demand for housing - single-family and rentals. M

These 15 markets had the largest increase in home prices in the past year. But they're not all the same. Look in the right-hand column, where we show how much home prices now are above the "income" price. Anywhere above 20 percent means you will do best – and take the smallest risk – by investing in apartments. Markets aren't seriously over-priced until they get above 40 percent (San Francisco is close). For those below 20 percent, either apart- ments or single-family homes are good bets

- because there's a lot of room on the upside. Even markets that seem too hot can be handled with care for rewarding results! •

642,850

11%

2.1%

5%

16%

Ogden, UT

547,824

11%

0.3%

5%

10%

Spokane, WA

568,088

11%

1.3%

6%

15%

Palm Bay - Melbourne, FL

Ingo Winzer is president of Local Market Monitor, which analyzes conditions in 300 U.S. markets, using such econom- ic data as home values and growth in employment and population. Winzer, who

362,895

11%

3.0%

5%

19%

Eugene, OR

454,846

11%

1.6%

7%

13%

Port St. Lucie, FL

has analyzed real estate markets for more than 20 years, was a founder and executive vice president of First Research, an industry research company that was acquired by Dun & Bradstreet in March 2007. He is a graduate of MIT and holds an MBA in finance from Boston University. Winzer resides in Cambridge, Mass. www.localmarketmonitor.com.

650,092

11%

2.5%

8%

9%

Lakeland, FL

2,975,225

11%

2.3%

6%

31%

Tampa - St. Petersburg, FL

Source :: Local Market Monitor, 2018

94 | think realty magazine :: december 2018

thinkrealty . com | 95

Made with FlippingBook Online newsletter