Lots to report on:  Foreclosures…Last year we had 134 in Douglas County.  If you read back a little ways, we had 89 in 2007.  In talking with Sara at the Douglas County Sherrif’s Department, she said that we could expect more foreclosures in 2009 than we had in 2008.  Time will tell, but nonetheless, a significant increase over 2007.

Sales:  Residential home sales recorded in the MLS were 313 closed sales for 2008 in Douglas County.  Compared with 342 in 2007,  the sales were down.  Unfortunately, we had a significant number of foreclosed sales in this data.   Lakehome sales were hard hit with 82 closed sales in 2008 versus 121 closed sales in 2007 in Douglas County.  Lakeshore lot sales recorded 28 closings in 2008 vs. 64 closed sales in 2007 for Douglas County.  This data is provided by the Greater Alexandria Area Association of Realtors Multiple Listing Service.

The Housing Affordability Index stands at 158.8 for December.  Unprecedented affordability index, in 2006 it was 106.1 and in 2007 it was 111.8.  What the index stands for is the cost of a mortgage (average in the U.S.), the average income in the U.S. and the average cost of a home in the United States.  In doing the qualifying for the average home, 158.8 out of 100 Americans can afford to buy the average home in America.  In other words, housing is very, very affordable today.  In 1982, it was 69.5.

Farmland prices did well here in Douglas County last year, as well as the rest of the nation.  “Farmland prices increased almost 9 percent in the past year according to the National Agricultural Statistics Services 2008 summary.  The average cost of an acre stands at $2,350, a record high, and $190 higher than 2007.  The average acre prices has almost doubled since 2002.”  In Douglas County, for 30 recorded ag land sales averaged $2,523 per acre.

Commentary:  There is a lot happening in the world, always has been.  Alexandria had sales last year, less than in the past.  In a declining market like we just had, we have been looking for the bottom.  Did we find it? Maybe, time will tell.  If we did, there are a boat load of positive things about to happen.  If we didn’t, then we have to wait a little longer.  In the meantime, quit watching the news…inflation is in check, interest rates are at historic lows, house prices are down, consumer goods are down, gas prices tanked (I paid $1.29 in South Padre Island last month), savings rates are up, we are almost done with the terrorists for the havoc they wreaked on American soil on 9.11.01, alternative energy is being discussed more than ever before, we have a new President-we’ll see what he can do, everyone has plenty of food and money for entertainment (did you see the crowd at the Super Bowl?).  Not much has changed in the world, always problems, always searching for solutions to the problems.   Later.