Fairfax foreclosure rate is going up & GCAAR median price is up too !
Amazing ! It looks like different groups of people are analyzing different markets. Two posts about fairfax forecolsure rates one in the examiner and the other in wtop and I’m sure there’s more out. Both articles say that forecolsure rates are up, and people cannot afford what they used to before.
In the same time, GCAAR’s May report shows there’s a price increase [June’s report was temporarily removed from their website].
HOW CAN THAT HAPPEN !. The only theory I have is lesser homes are being sold at the lower range - since buyers with low income are now renting versus buying. Buyer’s with higher incomes are buying lower valued properties and the rate by which those buyers decreased is smaller than at the lower range. However, property values are going down, which is totally different from the median price of sold homes.
I will try to validate my theory and write another post soon.
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