Recently I was at the Conshohocken Economic Forum hosted by Stifel Nicolaus. This event included key local business and borough leaders as well as Stifel Nicolauses’ Chief investment strategist Joe Battipaglia. It was great to hear the local leaders talk about some of the successes we have seen in Conshohocken, as well as some of the challenges we have experienced, and ones that still lie ahead. What I found of particular interest was Chief Investment Strategist Joe Battipaglia’s view on the economic conditions, specifically the real estate market.
Mr. Battipaglia’s presentation was clear and well articulated. Each of his economic viewpoints was supported by strong data and figures. While I agreed with some of his points regarding the economic conditions of the broader market, I disagreed with his points concerning the real estate market. My biggest concern with this part of the presentation was his inclination to sight and speak about the national real estate market. I see this same mistake made in many stories written about the real estate market. The national media (and in this instance Mr. Battipaglia) continually try to nationalize the housing market.
The problem is real estate around the country is a regional affair, strongly influenced by the local job market, new roadways, and/or new public transit options. The big swings in the Nevada, Florida, and California real estate markets contrast starkly to what we experience here in Conshohocken. As I mentioned, the presentation was well constructed and piqued my interest to analyze our local real estate market. Perhaps in an effort to answer the question, is Conshohocken a good place to purchase a home or property? The devil is in the details.
Year Avg Sale Price Conshohocken
2000 $115,075
2003 $192,463
2006 $264,818
2009 $267,745(ytd)
*data for residential home sales according to trendmls
Yes, that is correct. Home prices have increased 133% in the last 9+ years. Certainly, we have seen strong swings both up and down, but overall there has been an undeniable increase in the real estate values of the Conshohocken area. This is why I did not agree with Joe. Our area is still in very good shape compared to the national statistics. As the figures reveal, this is still a great area to purchase a home and raise a family.
-MM
Matt Mittman
Mittman + Rehling
Re/Max Realty Group
215.256.8026 (direct)
215.256.1200 (main)
215.359.1906 (fax)