Oklahoma

There’s something to be said for a slower pace of life, and there’s a lot to be said for a housing market that has been protected from much of the loan fraud and new financing that has hit the rest of the nation. Oklahoma real estate is making it through the national real estate recession with little damage.

The energy boom has produced higher income gains, population growth, and a higher tax base to move the economy. In terms of a slow down, Oklahoma’s housing markets are sustaining a more sluggish period. But not close to a real estate recession.

A housing slump has hit Oklahoma City. Rising prices and foreclosures attribute to the slow down. But Oklahoma City hasn’t experienced high rates of foreclosures like other areas.

Oklahoma City is forecast by Housing Predictor to see home prices decrease marginally from what it has experienced over the last two years, but still muster 2.5% in appreciation in 2008.

City	Forecast
Oklahoma City	2.5%
Tulsa	2.1%
Edmond	2.6%
Lawton	1.9%

The Tulsa market has seen more foreclosures than Oklahoma City, mainly due to a weakening job market. But new businesses will bring more jobs to the area in 2008 to bolster the economy.

New construction starts are down in Tulsa, where there is still an over supply of new homes, which is pulling on the housing market. A healthy agriculture industry and growing energy business will supply more jobs along with one of the strongest manufacturing segments in the nation.

Tulsa will see fewer homes change hands in 2008 and appreciate a modest 2.1% as the market adjusts to slightly lower price levels. Overall, the economy and the housing market throughout the state are healthy and should remain that way through the year.

Edmond also remains largely uneffected by the housing slow down, but a sort of national real estate virus has slowed the markets sales slightly. Consumer confidence is weakening.

Higher priced homes in the $500,000 range are selling slower in Edmond, most of which are newly constructed. But new construction permits have decreased as builders prepare for the slow down, which will last at least through 2009.

Edmond will see fewer homes sell in 2008 as sales activity grinds down, and the prices begin to ease. But the market will see at least some appreciation at 2.6% for the year, much better than the majority of the nation.

In Lawton it will be a similar case as the activity eases. Mortgages are getting harder and harder to get. Lawton like most of Oklahoma has experienced a nice quiet pop in appreciation in the 4 to 6% range for each of the past few years, but will have to settle for around 1.9% in 2008.