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Following is an excerpt from “America's Recession-Proof Cities” posted on Forbes.com on April 29, 2008 by Joshua Zumbrun

“Did someone say something about a recession? With falling unemployment, one of the strongest housing markets in the country, and strong growth in agriculture, energy and manufacturing, Oklahoma City might not have received the recession memo, and it looks best positioned of the nation's metropolitan areas to ride out the current crisis. Booming valuations of Oklahoma City's largest companies, like Devon Energy and Chesapeake Energy, suggest the energy sector is the right place to be.”

“Median home price: +8.2%

Unemployment: 3.5% (from 4.7% in February 2007)

Key growth: Leisure and hospitality, +6%; construction +11.5% from 2007”

Read More about the other "recession-proof" cities in the US. http://www.forbes.com/realestate/2008/04/29/cities-recession-places-forbeslife-cx_jz_0429realestate.html

For over a year now, we’ve been hearing the national news about the real estate market bust, but in the Oklahoma City Metro, we’re not feeling it! 

A recent report from RealtyTrac, the leading online marketplace for foreclosure properties, says that while nationwide foreclosures rose by 79% in 2007, foreclosures in the OKC Metro fell by 15.44% in 2007.

In addition, the local market experienced a nearly $75 million increase in sales over 2006, and the average sales price increased over $6800*!

I think we can attribute those results to the generally conservative attitudes of Oklahomans as well as our stable real estate market. Since the Metro didn't experience extreme sales price increases during the past 10 years, buyers weren't forced to seek creative financing to purchase homes like we saw in other major markets where the foreclosure rates are now skyrocketing as the prices plummet.

With interest rates at historic lows and more home choices than ever, now is a great time to buy!

*Based on information provided to and compiled by MLSGateway.com, Inc. covering a period (01/01/06) through (12/31/07). MLSGateway.com, Inc. does not guarantee or is in any way responsible for its accuracy.

On Saturday, November 24, 2007, The Daily Oklahoman published another great article by Richard Mize about the local housing market titled “State Avoids Home Sales Woes Seen Nationally”. Mize states, “It's steady as she goes for Oklahoma City-area housing, which — so far — seems to have weathered the national tempest in the homes and mortgage markets.”

Although the housing inventory has been steadily growing for the past year, transitioning from a “seller’s market” ever closer to a “buyer’s market”, there was a slight decrease in inventory from September to October ending in a 5.8 month supply of homes, according to calculations by The Oklahoman based on numbers from the Oklahoma City Metro Association of Realtors.

The industry definition of a “buyer’s market” is when there is a 6 month supply of homes for sale which is determined by dividing the current inventory by the average monthly sales for the past year. According to the article, there were 9,504 houses listed for sale with Realtors at the end of October and 1,616 houses were sold on average each month in the past year.

Of course we tend to see more national news regarding the housing market which certainly has been more bleak than our local reality. According to The National Association of Realtors, there was a 10.4-month supply of homes for sale in October nationally.

Another positive indicator for the Oklahoma City market is that home prices have continued to rise.

The median price in October of this year was up to $129,900 over $124,900 in October 2006.

The average price in October this year was up to $157,169 over $145,583 in October 2007.

Interest rates in the Metro are still at historic lows with the average in October at 6.05 percent on a traditional, 30-year mortgage, according to the Realtors.

Days on market is slightly up from 70 days in October 2006 to 79 days in October this year.

Comparing the current market to the “bust” in the mid-1980s isn’t realistic according to Victoria Caldwell president of the Oklahoma City Metropolitan Association of Realtors. In the ‘80s, the Metro had 15,000 homes for sale, days on market of nearly 400 days, and interest rates of 14 percent. Other economic factors such as excessive inflation and unemployment accompanied the oil bust.

In short, with low interest rates and a great inventory from which to choose, now is still a great time to buy! Sellers may have to take a more competitive approach to pricing and preparing their homes for the market, but the buyers are still out there!

Richard Mize wrote a very informative article in the Daily Oklahoman on Thursday, October 25 regarding the state of the real estate market in the Oklahoma City Metro. http://www.newsok.com/article/3156326/

He points out that the local market has shifted from a seller’s market to a neutral market due the current inventory of homes nearing a 6 month supply. Despite the shift, home prices have remained strong with a slight decline in the number of homes sold this year over last year.

Nationally, the news is much more grim. According to the National Association of REALTORS, there is a 10 month supply of homes for sale across the country. Unfortunately, the national news gets much more attention than the local news, and buyers and seller start to believe what they hear is happening in the rest of the country is happening here.

Although we are not fully in a buyer’s market, buyers do have the benefit of having a large selection of homes from which to select, and sellers know they have more competition for the buyer. Sellers are coming to the realization that they must price their homes right and have them in good repair from the outset.

In my opinion, now is a great time to buy a home!

--Periann