What You Need to Know About Risky Housing Markets

There is no doubt that house prices are falling andThe risk factor of these cities is calculated using a
that certain areas of the U.S. have become "risky"formula that incorporates data on house sales,
markets. Home prices have dropped more in the firstaffordability which includes per capita income,
quarter of this year than at any other quarter in theappreciation and mortgage rates and employment
last 17 years. PMI Mortgage Insurance says homerates in each particular area. On a positive note,
values may well decline across the country over thethese areas where the housing market are risky still
following two years.have strong employment rates which bodes well for
Here's a peak into the "risky" market areas and thethem being able to ride this difficult tide.
stable markets, as well as some valuable tips onTexas and the Midwest were markets that remained
selling your home in this post-bubble climate.largely untouched by the real estate boom, and are
The riskiest markets identified are those thattherefore largely untouched by the current decline in
experienced a rapid price appreciation in the previousreal estate. These areas include:
years and were part of that real-estate bubble,- Fort Worth-Arlington, Texas
which many were able to turn into the quick real- Pittsburgh
estate buck by flipping houses. But with the sudden- Dallas-Plano-Irvington, Texas
crash, they are experiences the hardest hit, with the- Houston-Sugar Land-Baytown, Texas
most foreclosures:- Indianapolis-Carmel, Ind.
- Phoenix-Mesa-Scottsdale, Ariz.- Columbus, Ohio
- Riverside-San Bernardino-Ontario, Calif.As a seller today it's very important to use the
- Las Vegas-Paradise, Nev.internet as an effective marketing tool. Prospective
- West Palm Beach-Boca Raton-Boynton Beach, Fla.buyers are definitely using the Internet now more
- Los Angeles-Long Beach-Glendale, Calif.than ever. Before stepping out to an open house,
- Santa Ana-Anaheim-Irvine, Calif.buyers are more inclined to narrow down their home
- Orlando-Kissimmee, Fla.search using internet searches where they can see
- Oakland-Fremont-Hayward, Calif.(ideally) clear, bright, professional photos of your
- Fort Lauderdale-Pompano Beach-Deerfield Beach,home, complete with virtual tours. Being on the
Fla.cutting edge of internet technology and having your
- San Diego-Carlsbad-San Marcos, Calif.home visually well represented is of ultimate
- Miami-Miami Beach-Kendall, Fla.importance. Find an agent who is savvy and willing to
- Tampa-St. Petersburg-Clearwater, Fla.create a Web site for each house they represent. If
- Washington, D.C.-Arlington-Alexandriayou can't find an agent who'll do this, remember you
- Boston-Quincy, Mass.can set up a web page yourself.