July 15, 2006
1st user documents falling housing prices on Bubble Map
The first user has added two local properties to an experimental Real Estate Bubble Map created by The Real Estate Cafe to involve consumers in the process of tracking falling housing prices. Located at 21 and 30 Walker Street in Cambridge, Massachusetts, the contributions document an emerging trend: both sales prices and asking prices are falling below assessed values in once overheated housing markets in Greater Boston. Despite the prevailing myth is that housing prices never fall in Cambridge, the city is among 66 housing markets that have experienced significant price corrections over the past two decades. 21 Walker St. sold recently for approximately $150,000 below its assessed value; and the asking price at 30 Walker St. has fallen more than $110,000 below it's assessed value. That property went under agreement in 11 days in 2003 when it sold for $1,275,000. After six months on the market, the asking price is now $50,000 less than the sales price three years ago. (See comments on map for more detail on both properties and approximately 150 others in Greater Boston)
Both Walker Street properties are in walking distance to Harvard University, where an "Un-Conference" on Citizen Journalism will be held, Monday, August 7, 2006. It is hoped that other house hunters will create local bubble maps to protect fellow home buyers from overpaying in "extremely overvalued" housing markets nationwide.
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