This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

5 Cities That Aren't Seeing a Housing Recovery

No. 2 lagging market: Allentown, Pa.
Score:
80.6

Billy Joel once sang about Allentown's hard times, and the 821,000-person metro area's problems certainly extend to its housing market.

Blomquist says one of the most telling signs of trouble is the fact that institutional investors account for just 4% of Allentown's home sales, or less than half of the 9% rate nationwide.

He sees that as an indication that the large private-equity funds that are pouring big bucks into the U.S. housing market these days are skipping the community even though it's just 90 miles west of Wall Street.

"Allentown just isn't a place where these Wall Street-backed investors are looking or think is a good market to invest in," Blomquist says.

The community has also seen a below-average 41% drop in foreclosure filings, while median home prices have rebounded just 9% after bottoming out this past March. That's less than half of the typical recovery seen nationwide.

5 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
AAPL $131.21 -1.10%
FB $81.13 -0.95%
GOOG $554.46 -0.16%
TSLA $231.27 -0.12%
YHOO $44.37 0.02%

Markets

DOW 18,092.95 +54.98 0.30%
S&P 500 2,113.16 +4.24 0.20%
NASDAQ 5,058.6160 -1.63 -0.03%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs