2007 is off and running and so far thru the first 12 days the stats are less than stellar. Total single family home inventory is now sitting over 14,000. Building permits have dropped to an all time low, however, with a 9-12 month build cycle we are still seeing inventory come online that was permited a year ago. It will take 12 months for the slow down in building to hit.
Sales, while steady, are not eating away at these inventory levels. It will be very interesting what happens in these first 3 months of the year. I believe buyers will pick the low hanging fruit, the easiest to reach and if they can't reach it, they will just move on.
Some buyers I talk to are renting, trying to find or wait for the perfect moment to buy. To capitalize on paying the least. You buyers should talk to the sellers who are out there that waited for the perfect peak to sell and never saw it until after the fact.
Fact is there are good deals out there, it takes experience and market knowledge to uncover them. So gentlemen start your engines, 2007 is off and running.
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