the market longer, and longer. Over the last three months the Reno/Tahoe
real estate boom of a few months ago has all but dried up. Buyers are
not snapping up those million dollars homes that are offered, heck, they
used to be less than half that price one year ago.
A lot of folks in Reno who have been trying to sell their recently
re-financed [over inflated homes are saying "few calls, much less buyers
have come their way since last summer." One Reno realtor said some of
his million dollar properties for sale have "dropped more than 25% in
price since January".
Many Reno residents predict that if prices do not come down, and come
down fast it will leave thousands of real estate investors with
properties they suddenly can't afford.
Economists say "the result of all this could set off another Great
Depression where homeowners lose their property due to high interest
payments, or their inability to make the payments. The banks will
eventually come in and take the house from you, but - if there is a
silver lining to this black cloud - they would have to drop the prices
at auction to avoid their own financial ruin."
What should a house in Reno cost? Remember, a 3 bedroom home with an
acre of land would cost $200,000 in Reno just a few years ago. Now the
same piece of dirt is now being offered at a million dollars or more.
What's the deal?
Land that was just $25,000 an acre a few months ago is now more than
$100,000. Some experts blame the price explosion on uneducated buyers
from San Francisco and Las Vegas. "They are used to paying a million for
a studio" said one Reno Nevada realtor... "They are the only takers
these days in Reno".
For the rich, the number of million dollars homes for sale in Reno and
Tahoe is astounding. The problem with the area is the lack of anything
affordable. A huge portion of Reno Nevada News readers surveyed said,
"Something has to be done about the lack of affordable housing or all
the regular folks" will have to find another place cheaper to live. They
are also glad to hear that prices are beginning to come down.
Zane Durant - Editor
www.RenoRealEstateMarket.com
###
Press Contact: Zane Durant
Company Name: RENO SEO
Email: email protected from spam bots
Phone: 775-247-2648
Website: http://www.RenoRealEstateMarket.com
AndhraNews.net News for May 15, 2006