Why Real Estate Is a Good Investment Now

I just read a great piece by Dave Kansas over at SmartMoney called, Real Estate: Finally a Good Investment? where he admitted that while the real estate market as a whole has a lot of problems, buying residential real estate makes sense. So let’s take a look to see if real estate is a good investment at this current time. (Editor: The article has since been removed.)

Chart of Louisville Home Sales 1994-2010 - Why Real Estate Is a Good Investment Now
Here you can see a chart of Louisville home sales by year from 1994-2010. This includes all of Louisville and surrounding counties and is taken from the Greater Louisville Association of Realtors (GLAR) data source.
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Louisville Home Improvement Costs vs. Values for 2010

For the past three years we’ve published the Remodeling Cost vs. Value data for Louisville remodeling projects. For reference, I’ll link them up for you here.

Photo of an Updated Kitchen in Louisville KY
Performing a major kitchen remodel in Louisville KY with midrange quality items brings a 72.6% return on investment. Using upscale items just a 60.5% return. | Photo: Tre Pryor
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Passive House Home Building Standard Gaining Support

We’ve written about energy-efficient home building in the past. Most recently with our review of last year’s Homearama and also with a post entitled Green Louisville Home: Simple Ways to Green Up Your Louisville Home.

photo of Technische Universitat in Darmstadt
Technische Universitat in Darmstadt, Germany won the Solar Decathlon competition with a Passive House-certified building design. (Credit: Martin LaMonica/CNET )
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Louisville Home Prices Down, Up Depending on Source

Handling data can be a tricky business. This famous quote was directed at how numbers can be manipulated—“There are three kinds of lies: lies, damned lies, and statistics.” With that in mind, I try very hard to present all the information in an unbiased manner and let you make up your mind about how that affects your personal situation in regard to housing here in Louisville.

Charts of Louisville home sales and Louisville home prices for Jefferson County KY MLS area 30 for the 12 month period ending September 2016
As you can see in this market report for Jefferson County KY, home prices are on an upward trend. Data is sourced from the Greater Louisville Association of Realtors (GLAR).
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