The Law Office of Lance Denha Comments on the Recent Drop in the Housing Market

(PRWEB) June 20, 2012

As reported earlier this month by MSN Real Estate, the number of housing markets listed as improving in the country dropped 20% this month, underscoring the fragility of any housing recovery that may be under way. The number of cities on the National Association of Builders/First American Improving Markets Index ( IMI ), dropped from 100 in may to just 80 in the early stages of June.

“The shifting of some markets off the IMI in June underscores the fragile nature of the housing recovery as well as the fact that many locations that previously made the list has only marginal house-price gains, which were easily wiped out by small downward changes,” NAHB chief economist David Crowe said in a news release. To be deemed an improving market, a metro area must show improvement in building permits, employment and home prices for at least six months. The number of markets on the list had hovered around 100 for just the past three months.

Most of the cities on the list are smaller metro areas, though Phoenix; Washington D.C.; Orlando and Tampa, Florida; Detroit; Kansas City, Mo.; and Pittsburgh remained on the list. They were joined this month by Dallas, San Antonio and Knoxville, Tennessee; as well as 24 smaller cities. Among the 48 cities falling off the list in June were Denver; Jacksonville, Fl.; Indianapolis; Portland, Or.; and Nashville, Tn. “The volatility of this index mirrors the uncertain economic conditions in some of our nation’s individual markets,” said Kurt Pfotenhauer, vice chairman of First American Title Insurance Co., in a news release.

As Lance Denha, Esq. of The Law Office of Lance Denha commented this week, “This reported decline in the housing market, when coupled with the stagnant labor market, only exacerbates the difficulty homeowners are having in keeping their homes from foreclosure. Families are exhausting their life savings in the hopes of regaining the lost equity in their homes and/or returning to the work force. Today, all signs of the economy point to a long and slow recovery of both the housing and labor markets.” The Wall Street Journal’s “Developments” blog posed the “have we hit bottom” question to several experts last week, before the IMI list was published. Among the responses:

•     Rick Sharga, executive vice president of Carrington Mortgage Holdings: “I think we’re either at or very near the bottom, but nationally, we probably won’t see significant, sustainable home-price appreciation until 2015.”
•     Glenn Kelman, CEO of the real-estate brokerage Redfin: “We hit the bottom last year. I don’t think that means it’s going to be a V-shaped recovery. There will be ups and downs, and sales volume isn’t going to recover in any meaningful way.”

It is highly advisable to seek legal expertise to determine the best course of action in order to gain an understanding of the particular direction best suited for the client. Falling further behind on mortgage payments without action or simply walking away, are solutions that carry severe consequences going forward. Actively monitoring the ever changing landscape of foreclosure laws, recent foreclosures across the nation as well as state imposed rules and procedures associated with foreclosure, is vital to ensure and protect the homeowner’s legal rights. The Law Office of Lance Denha P.A., is a multi-state law firm and helps legally defend wrongful foreclosures against homeowners and preserve these rights. For further information or assistance, please call at 954-840-0770.

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