It is now May of 2010 and there is no sign that housing is recovering here in Virginia. I live out in the exurbs, so in close to the city core things are probably a bit different. Out here, most of the homes that sat empty last summer still sit empty today. Most of them don’t have any signs on them at all and grass is now waist deep. I am no expert, but I imagine that a home sitting empty for a summer or two warps, cracks and falls into disrepair. Mold sets in. Bugs get in. Who wouldn’t want that? The few homes that do sell are at fire sale prices, 150K or more under where they were in 05-06.
Will these homes eventually need to be demolished? Will this neighborhood and those like it turn into exurban ghettos? After all, we are only another oil shock or inflation shock away from it being totally unthinkable to do the 1-3 hour commutes (each way) that we do here.
All things considered, housing isn’t picking up steam here. There are years of pain ahead.