National index adds Janesville to improving markets list
Improving economic performance
Rock County was added Thursday to a national list of areas with improving economic performance. Here's how it did on the index:
Housing permits—A 3.9 percent increase from its lowest post-recession point July 31, 2011.
Employment—A 2.2 percent increase from its lowest point Sept. 30, 2011.
House prices—A 7.3 percent increase from its lowest point Jan. 31, 2012.
JANESVILLE — A national index of economic indicators has added Janesville to its list of places where things are looking good.
The National Association of Home Builders added the Janesville and Green Bay metropolitan statistical areas to its monthly list, which was announced Thursday. The Janesville area comprises all of Rock County.
Only three areas in Wisconsin are on the list. Appleton joined the list in November.
The fact that the local housing sector was improving has been known for some time, said James Otterstein, economic development manager for Rock County. But Janesville's mention on a national listing could attract the attention of a company looking for a location.
"Any time you can continue to receive recognition and validation from credible, third-party sources, that bodes well," Otterstein said. "The higher the frequency of those types of reports, that helps push the message out to a much broader and diverse audience."
The index, called the National Association of Home Builders/First American Improving Markets Index, was started in September 2011. The association was looking for a way to show that while the national housing statistics might be down, local markets could be up, said Robert Denk, senior economist for the association.
The index tracks three post-recession indicators—housing permits, house prices and employment.
"We were trying to capture when markets in each of these categories are sort of turning the corner," Denk said Thursday.
To be listed on the index, a community must have improved on those indicators for six months.
The index was a way to counter national headlines that showed a depressed housing market because at the same time that national statistics are down, local numbers can be very good, Denk said.
"We tried to identify the best places, the ones that really are turning around and say, ‘Hey forget about the national numbers and look at what's relevant to you, and it's a lot better than you might think it is if you read the national stories,'" Denk said.
The index follows 360 metropolitan statistical areas. It listed 126 of them in November and 201 in December, the biggest monthly increase since it was established.
Denk said the requirement that improvement must continue for six months helps ensure that the communities are on a steady road to recovery. He cautioned, however, that the cold months often bring a chill to the housing market.
"What do we expect going forward? Well, we're sort of cautiously optimistic," Denk said.
Dec 8, 2012 at 5:48 p.m.
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GM has a national contract, geniuses.
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What will bring GM back is dramatically improved sales, and so far they're only sort of arresting their long decline in market share. They've had three good months in a row starting with the arrival of new models in September, but they're only up YOY modestly compared with competitors.
http://online.wsj.com/mdc/public/page/2_...
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Any home can be sold immediately if it is priced to market. The problem is most people who bought during the bubble don't want to take a loss or a diminished gain. They want the imaginary value their home had before the bubble popped. If you're willing to take the hit, you can almost always sell right away. It also makes sense that only certain neighborhoods are seeing healthy sales as there are still many more sellers than buyers.
Dec 8, 2012 at 4:23 p.m.
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I wonder if GM will really return after we become a right to work state.
Dec 8, 2012 at 4:20 p.m.
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If GM returns, we can thank Governor Scott Walker for making Wisconsin 'open for business'.
Dec 8, 2012 at 1:50 p.m.
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Twelve Oaks is an excellent location to live because it provides convenient access to the interstate. Only downfall is the property taxes are ridiculously high in some areas.
Dec 8, 2012 at 1:30 p.m.
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Our area is selling fast but it's more upscale. House across street sold in 48 hours. They're also building two new homes a block away. I think only certain unique locations are improving and I'll bet twelve oaks is one of them.
Dec 8, 2012 at 12:01 p.m.
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I would expect no less
from the party of doom and gloom.
Dec 8, 2012 at 9:33 a.m.
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Thank you Obama for fixing the economy! I can't believe you all missed the hidden story here. GM is reopening the plant!
Dec 8, 2012 at 6:37 a.m.
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Shouldn't
Dec 8, 2012 at 6:37 a.m.
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analertcitizen - You should draw conclusions from one outlier data point. That's the job of religion.
Dec 8, 2012 at 4:43 a.m.
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These are year over year figures. They measure the direction of the market. /Many experts believe it will take a decade for home prices to recover to the pre-bubble trendline. And even in Janesville there wax a bubble, alert -- that was an inflated price. Good luck getting that again.
Dec 8, 2012 at 12:05 a.m.
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This is almost a joke. i just read about a house that sold in early 2008 for $195k that just sold ford $63k. In what world is this a good sign? Houses are selling but at well below even assessed value. Don't be fooled Janesville. It's not that rosy.
Dec 7, 2012 at 11:36 p.m.
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pubsrus...don't confuse the clueless with facts.
It upsets their own little universe.
Dec 7, 2012 at 11:31 p.m.
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Do you know any other jokes smallbizowner?
Dec 7, 2012 at 10:02 p.m.
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I expect Detroit will soon be added to the list now that Michigan is on it's way to becoming the 24th 'right to work' state. Will we be number 25? Cross your fingers.
Dec 7, 2012 at 9:57 p.m.
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Thank You Governor Scott Walker for making Janesville an improving community.
Dec 7, 2012 at 9:06 p.m.
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Hey Nemesis you want to explain how that 3.8% tax on the sale of a house works. You couldn't be more wrong on your statement. The 3.8% tax is on the amount over and above the allowed profit on a house. If you are married and sell a house you can make up to $500,000 before you owe anything. The profit over and above the $500,000 is taxed at not only ordinary income but a special 3.8% healthcare tax. If you make less than the 500k you owe nothing. All this is the same if you are single other than the profit threshold in $250k.
Even then you owe nothing if you make less than $250k per year. You should quit listening to Fox News so much.
Dec 7, 2012 at 8:38 p.m.
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My dad sold his house near Janesville in 2.5 months for very near his asking price.
Dec 7, 2012 at 8:12 p.m.
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I am not asking you to believe me - just wait until you have to sell a house and watch.
Dec 7, 2012 at 7:18 p.m.
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LISTEN: You are really fooling yourselves if you think the housing market has come back. Try to sell yours. The fact is that just like the unemployment figures the housing market figures are skewed because so many have simply given up listing and trying to sell. Facts just facts
Dec 7, 2012 at 5:35 p.m.
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Even if many houses have been on the market for a long time, sales can still be up. I don't know what the number of "months of supply" is for Janesville, but if it's higher than the 5.6 months national average, that means that even if sales improve there will still be a backlog for a long time yet. See:
http://www.calculatedriskblog.com/2012/1...
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It makes sense that Janesville's residential market is turning around, as the industrial space market has gotten really tight, per earlier Gazette reporting.
Dec 7, 2012 at 5:35 p.m.
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zdog
They know..
They lie..
They are proud of their dishonesty..
Thye are Republican...
Dec 7, 2012 at 5:04 p.m.
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zdog" Then that would be the end of blogging!
Dec 7, 2012 at 4:54 p.m.
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and another thing to remember, is not to believe everything you read on the internet. Some people have NO clue what they are talking about. There is no 3.8% tax on home sales because of Obamacare.
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The tax this no-nothing is referring to is a 3.8% tax on investment and non wage income for those making above 250K. If you sell your primary residence and make ABOVE 500 THOUSAND DOLLARS PROFIT, yes you will be taxed. So if you bought a house for 1 dollar and sold it for 499,000 dollars you still would not owe a single penny in tax extra in tax to the federal gov't.
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I really think the world would be a better place if people quit talking about stuff they know nothing about.
Dec 7, 2012 at 4:35 p.m.
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Just remember after Jan 1 2013 you have to pay an additional 3.8% in taxes of the sale of real estate to the feds. So for a $200,000 dollar house you have to pay an extra $7,600 in taxes. Thanks to the democrats and Obamacare.
Dec 7, 2012 at 4:33 p.m.
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Me either. Some homes have been for sale for ever.
Dec 7, 2012 at 4:13 p.m.
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I do not believe it.
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