Wednesday, November 7, 2012

Appraising in Hardin Co, Update

Wasn’t it the beginning of 2012 not long ago?  I’m sure you agree with me that time has flown by this year.  As I look back on this year, I would like to share a few tidbits concerning the property values in Hardin County.

First, many local lenders had predicted that 2012 would be very similar to 2011.  Most industry leaders in the area did not predict a big increase in appreciation across the county, and the sales data that we have seen so far has backed up this prediction.  As of October, we are within $2,000 of the median sale price for all of 2011, which was $147,000.  Keep in mind this is county-wide values, not individual neighborhoods, which brings me to my next point.

We are about two years out from the BRAC surge from 2010.  The families that relocated to our area and bought homes have been trying to take advantage of historically low interest rates by refinancing their mortgages.  One problem that has been coming up on most of these properties is that they were bought at the high point of the local market.  This makes depreciation a real issue even in our stable county.  My advice to these folks would be to wait until the current median sale price of their subdivision or the county is at or above the 2010 level.   

Lastly, I would like to point out what has been going on in 2012.  I have a market monitor on this website that tracks the quarterly median sale price of both Elizabethtown and Radcliff.  The monitor has been in a down turn for the past quarter, so I verified this by pulling monthly data from HKAR MLS.  2011 was the same way, which seems to indicate that once summer is over, activity and values start to fall off.  Keep this in mind if you are looking to put your house on the market.

Well, I hope you have found this article informative.  2012 has seen similar property values to 2011, lower values when compared to 2010, and higher values from 2008 & 2009.  Hopefully 2013 will see an increase in values without a huge jump in inflation.