Housing Inventory Is Down, And Housing Prices Are Up

I read a report yesterday on housing inventory that really stuck out to me, because many of the Market Reports that I have been reading here on ActiveRain are basically saying the same thing.  What made the report even more interesting to me is that Market Reports here on ActiveRain have been saying this for at least a couple of months now, and the so called experts are now just seeming to realize it.  This is one more reason to be on ActiveRain if you want to be up today on what the Real Estate Market is doing, in stead of depending on the experts and news media to provide it.

This report basically confirmed that Housing Inventory Is Down, And Housing Prices Are Up.  The report also verified the reason for the decrease in inventory that has been given as a reason for the decrease in inventory here on ActiveRain.  Sellers that are underwater on their properties, and Sellers who can not sell their property at the price that they want, have become discouraged and taken their properties off the Market. 

This decrease in inventory is happening at a time the demand is increase, and it does not take a genius to come to the conclusion that:

Supply + Demand = Price

However, as sales prices start to go up, so will inventory as Sellers who have taken their properties off the market begin to enter the market again. Hopefully that will happen at a slower pace, so that the need for Short Sales decreases.  The report closed by stating that:

"prices will increase by 2 percent this year and by up to 5 percent in 2013. NAR’s estimates are a little higher. The trade group expects a 3 percent rise this year and a 5.7 percent rise in 2013"

That might be a modest increase but it is an increase, and a very pleasant change from the trend that we have been in for the last few years.  I for one am ready for Housing Inventory Going Down, And Housing Prices Going Up.

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