In a recent Bloomberg publication drawing on information from real estate website Zillow.com, the top five riskiest housing markets in the U.S. are,
5. Loss Angeles
3. Riverside, California
2. Providence, Rhode Island
1. Hartford, Connecticut
These cities were identified using a measurement of risk that estimated the chance that, once a buyer owns their home for five years prior to selling, they would make a loss.
When so much wealth is tied up in one asset, the risk — or stability — of a local market can mean a lot to a homeowner.
With the recovery of the housing market following the recent recession, homebuyers tend to be more cautious when making decisions to buy or sell. Tighter lending regulations have helped limit the chances of a similar housing crash in the future, however personal accountability is even more influential in making responsible decisions.
Read more here- “The Riskiest Housing Markets in the U.S.,” (Ben Steverman, Bloomberg)