Some of the latest housing news shows that home values are still falling. That's not really a surprise, is it? But prices are rising in 2 cities, Washington DC and Detroit.
Detroit?
Yes, Detroit.
When you think about it it makes sense. Its real estate values plummeted to the point where the median price for a house was less than $7000. (The large number of abandoned homes and buildings in the Motor City helped suck down property values for years.) Many neighborhoods have been abandoned entirely and the city has been tearing down empty homes for some time. The population of Detroit is less than a third of what it was at its peak. In effect, property values hit rock bottom. There's only one way for them to go: up. So is it a surprise that home values are starting to climb? Some folks see an opportunity and are snapping up empty homes for bargain basement prices and fixing them up. Unless the city dies entirely the chances are the value will go up.
