Earlier this month the PMI Mortgage Insurance Company released its Fall 2008 U.S. Market Risk Index, ranking the nation’s 50 largest metropolitan statistical areas (MSAs) according to the probability that home prices will be lower in two years. Clearly the news is mixed!
If you live in or are considering moving to Texas (Austin, Dallas, Ft. Worth) the news is very good. PMI’s Risk Index estimates there is less than a 1% chance that homes in these areas will decline in value over the next two years. In a number of other major cities, there is as high as a 99% probability of falling home values. To see the full report please click here.
What does that mean for you? That really depends on your individual situation. You may be waiting for home values to fall in Texas; however, there is little probability that will happen. If you live outside of Texas you may reside in an MSA that will see a continuing decline of home values. This may require you to wait out the economy or encourage you to move to a more stable area of the country sooner.
To see how the Austin Real Estate market is doing, visit http://austinrealestate.homecity.com/