Comments on: It’s all on how you read the numbers http://www.bostonreb.com/2009/09/its-all-on-how-you-read-the-numbers/ Boston real estate. Boston condos. Fri, 10 Sep 2010 21:57:01 +0000 http://wordpress.org/?v=2.9.1 hourly 1 By: Mike http://www.bostonreb.com/2009/09/its-all-on-how-you-read-the-numbers/comment-page-1/#comment-11841 Mike Wed, 30 Sep 2009 14:02:09 +0000 http://www.bostonreb.com/?p=23099#comment-11841 Hi John and John - The surge in the lower tier is pretty concerning, especially since it seems to support the hypothesis that a lot of the sales action has been driven by the $8k credit rather than a "real" improvement in the market. If that's the case, these gains may be fleeting. The $8k credit phases out pretty quickly with income, so higher income people (who presumably buy the more expensive homes) see no benefit from the measure. If the market were being driven not by an improvement but rather by the temporary support from the $8k credit, results like this are what you'd expect. Not a good sign for the higher tier properties. Mike Hi John and John –

The surge in the lower tier is pretty concerning, especially since it seems to support the hypothesis that a lot of the sales action has been driven by the $8k credit rather than a “real” improvement in the market. If that’s the case, these gains may be fleeting.

The $8k credit phases out pretty quickly with income, so higher income people (who presumably buy the more expensive homes) see no benefit from the measure. If the market were being driven not by an improvement but rather by the temporary support from the $8k credit, results like this are what you’d expect.

Not a good sign for the higher tier properties.

Mike

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