Coldwell Banker Market Watch - July 2011
Are the Lazy Days of Summer Really Here?
The lazy days of summer are finally here, or are they? Thousands will take their much deserved vacations and flock to sandy beaches or pristine lake waters to escape the heat and indulge in some much needed rest. For those in the real estate industry however, the word lazy does not apply. Right now, sales professionals are working harder than ever to educate and motivate consumers.
If one reads the current reports, it's all doom and gloom for the real estate industry. Yes, there are numerous reports of national home sales trending downwards, and the reports aren't inaccurate, they're just not telling the entire tale.
One must remember that real estate is a very local business. What is happening in regards to sales, pricing, or foreclosures nationally or even state-wide, may not be the reality in your local community. Most recently, positive activity has been reported from many Coldwell Banker Residential Brokerage offices, and there are signs of unit growth in almost every market.
Real estate is also very cyclical and ever changing. The spring selling season started off strong and then suddenly dipped as a spike in gas prices, rising unemployment claims, and severe weather hit the nation. Right now, industrious sales professionals are helping motivated buyers and active sellers get reorganized and reenergized from a soggy spring.
Essentially, home sellers shouldn't be disheartened by the late spring reports. The Federal Reserve Bank of Philadelphia just released the Livingstone Survey which summarizes the forecasts of economists from industry, government, banking, and academia. According to the 35 participants, they raised their estimates of output growth for the second half of 2011 and revised the unemployment rate downward throughout 2011, which is very positive news.
It is also anticipated that reluctant buyers will finally jump into the market before FHA loan limits are decreased on October 1, making it difficult for some to secure a loan. Loan limits determine what types of mortgages may be FHA securitized or insured. Loans that fall outside of the limits face tighter credit requirements, higher interest rates and larger down payments.
With home prices at their most affordable, and mortgage rates still at historic lows, a serious buyer would be very wise to make their move now.
If you want to understand what is happening in the real estate industry as it directly impacts your buying and selling decisions, look to the linked graphs linked to below and speak to me, your Coldwell Banker Residential Brokerage sales professional. Its times like these that your local Coldwell Banker Residential Brokerage professional can provide you with the facts that are relevant to you in your local area, and can give expert guidance on current market conditions that impact you. As your Coldwell Banker Residential Brokerage professional, I can dissect those national headlines, and give you the right kind of information you need to make the right decisions.
Anne Arundel, Baltimore, Baltimore City, Caroline, Carroll, Cecil, Culpeper, Dorchester, Frederick, Harford, Howard, Montgomery, Prince Georges, Prince William, Queen Anne, Somerset, Stafford, Sussex, Talbot, Washington, Wicomico, Worcester
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