Lower Prices Have Spurred Home Sales, but Looming Foreclosures and High Unemployment Are Clouding the Outlook

The U.S. housing market has been in a slump for the past four years. When will it ever end? In recent years, real estate has proven as jittery and unreliable as any other market. The average U.S.home price nearly doubled between January 2000 and April 2006, according to the First American Loan Performance index. Since then, the average has fallen about 30%. The drop has been 53% in the Las Vegas metropolitan area and 39% in Miami, where about a quarter of all households with mortgages are behind on their payments or in foreclosure. The value of your home might be determined more by whether the neighbors keep their jobs than whether the house has ample light and closet space.Here is a guide to navigating a fractured and volatile market:
By James. R. Haggerty, Nov. 17, 2009  WSJ

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