Lehigh Valley is an official metropolitan region, and is literally a valley of communities. It is known as the Allentown-Bethlehem-Easton metro area, but the locals know it simply as “The Valley.” This area is named for the Lehigh River, which runs through this part of the Great Appalachian Valley. The valley lies between two mountain ranges; Blue Mountain borders the north, and the southern part of the community is bounded by South Mountain. As home to about 970,000, it is the third most populated metropolitan area in Pennsylvania, and includes Lehigh, Northampton, and Warren counties. This is the fastest growing region in the state. Lehigh Valley real estate continues to be popular, largely because of its convenient location. It is strategically located just one hour from Philadelphia, and about two hours from New York and New Jersey. The Valley has become a growing bedroom community due to its proximity to the larger urban centers, and affords an unusual blend of a cosmopolitan and outdoor lifestyles. Purchase a Lehigh Valley home, and you have all the amenities of ta big city within a community that still retains its rural flavor. Add today’s low mortgage interest rates, the new tax credit, plus real estate prices that are significantly lower than the major urban areas, and you have a recipe for a housing market that holds more promise than any other area of the state. The high quality of life and growing population only serves to protect and progress local property value. A Lehigh Valley home purchase is an investment in the future.
It’s no secret that real estate markets across the nation are slanted towards home buyers, but Lehigh Valley real estate has proven itself to be a good long-term investment. Of course, there are foreclosure listings on the market, but many of those who lost their homes were victims of irresponsible lending practices. Some of them were trying to make a fast buck by “flipping” houses. However, most those who have invested in their homes for the long term are not defaulting on their mortgages. Considering that Lehigh property values have always appreciated in the long run, almost any real estate purchase here is a smart buy.
The Leigh High Real Estate Market
The Lehigh Valley real estate market does not experience the extreme boom-bust oscillations that other urban areas experience. However, the “bubble” has already burst here and a 5% decline in area property values provided a reality check to sellers, and a bonanza for buyers. Lender-mediated listings (short sales and home foreclosures) are being gobbled up by investors looking for positive cash flow and future value as well. Pennsylvania MLS activity is certainly on the rise. This is especially true among first-time home buyers who are eager to capitalize on today’s low interest rates, a large inventory, and, of course, the new $8000 tax credit. The USDA’s zero-down mortgage program has stimulated home-buying in the outlying areas, and is even funding the purchase of new home construction. Buyers who are short of cash are taking advantage of FHA’s low 3.5% down requirement, and seller-assists of up to 6% are covering their closing costs, prepaids, and incidentals. A brand new Lehigh Valley PA townhome with three bedrooms for about $200K is a common purchase.
Nice houses that are priced well are selling. According to our regional Pennsylvania MLS statistics, the number closed sales in April 2009 came in at 406, a significant increase from 335 for the previous month. The median home price is $180,000, and purchase prices are averaging 96% of list price. New construction is especially affordable; homes with four bedrooms, three bathrooms, and a 0.03 acre lot are abundant in the $300,000 to $600,000 price range. Prominent quality builders include Kay Builders, Spectrum Homes, Gambone Homes, Zaworski, and others.
The credit crunch dampened the Lehigh Valley luxury home market, as elsewhere. However, jumbo loan underwriting is starting to get easier. Jumbo loan rates are almost matching conventional rates, and are opening up many opportunities for move-up home buyers. Homes on golf courses are seeing an uptick in showings and sales. Gentleman’s farms with acreage and mountain views are also popular.
The location along the Pennsylvania Turnpike, Conrail, and the Lehigh Valley International Airport creates a permanent demand for Lehigh Valley real estate. About 40% of the U.S. and 60% of Canada’s population are within a 500 mile reach from here. Population growth will continue to add to the demand for homes as well. This is the third largest urban area in Pennsylvania and it is growing
faster than other parts of the state. Since the real estate mantra is “Location! Location, ” astute Pennsylvania home buyers realize that it only makes sense to invest in property situated in the path of expected growth.
Your Eastern Pennsylvania Realtor
If you are relocating to this part of the state, I can save you time, money, and headaches by ensuring that you have the best possible information about the Lehigh Valley real estate market. The Lehigh MLS housing inventory is large, and offers a wide variety of styles and prices. It is hard to know where to start. I know the neighborhoods and the communities, as well as market trends. Also, I can provide insight into MLS sales data so you do not over-bid when making a home purchase. Call me so we can determine your real estate needs and help you discover the ideal home for you and your family.
Thinking of selling? Call me for a free market analysis of your home. I know the market and I may have a pre-qualified buyer for your home. Benefit from my years of experience and extensive referral database. As your listing agent, my goal is to help you realize the best price in the shortest period of time.
