Keeping Current Matters in The Barrington, RI Housing Market

Keeping Current Matters In the Barrington, RI Housing Market

Keeping current matters whether it's in real estate, politics or even knowing what the weather will be for the day.  Keeping current and up to date on the goings on in the local real estate market is especially important.  Why you ask?  Well, I'll tell you why.

I took a webinar a few weeks ago titled "Is the housing market in a full out recovery?" by a organization aptly named "Keeping Current Matters".  This group provides Realtor's with up to date real estate statistics, information and trends as to what the market is doing and where it is heading nationally.  

Is the Barrington housing market in a full out recovery?  In a nutshell YES we are in a housing recovery from a sales point.  That being said here's what has to continue to happen to gain momentum. First,sales have to continue to come back followed then by pricing.  Two separate recoveries have to take place.  Sales first then pricing. 

The July 2012 numbers from the statewide MLS shows Barrington holding steady from a year ago at this time. 26 sales in July of 2011 & 2012. The July numbers also show that the median price is $365,000 a -5.50% decrease from last years median price of $386,250.  The average DOM (days on the market) is 65 days down from last years 84 days. The way we continue to move forward in the housing recovery is through pending home sales.  The more buyers enter the market believing that this is a great time to buy a home, the more we continue to drive up sales, which will be followed by prices.  

Nationally speaking Fanny Mae and the National Association of Realtors predicts existing home sales to continue the slow & steady growth into 2013 & 2014.

Now onto Pricing. 

 NAR chief economist Lawrence Yun at the National Association of Realtor conference in June said "This time next year there could be a 10% price appreciation.  I would not be surprised to see that."

The month's supply of houses impacts prices.  1-4 months supply = a sellers market or pricing appreciation.

                                                            5-6 months supply= a even market or normal appreciation.

                                                            7+ months supply= a buyers market or pricing depreciation.

Barrington as most of Rhode Island  is in a 5-6 month supply or even market with normal appreciation, but we are seeing some areas in our state that have 4 month supply of inventory.  Realtor's are receiving multiple offers on houses more often now.

6 weeks ago the Home Price Expectation Survey polled 111 leading real estate analyst's for their projection of where the housing prices will be heading over the next 5 years.  The survey says....

2012 -0.4% depreciation in pricing

2013  1.3% appreciation in pricing

2014  2.6% appreciation in pricing

2015  3.2% appreciation in pricing

2016  3.5% appreciation in pricing

Before the "bubble burst" the average percentage of appreciation was 3.6%. 

What this all means is that we are at the beginning of a mild recovery in pricing, and we will continue to steadily climb that upward curve.

"When getting help with money whether its insurance, real estate or investments you should always look for someone with the heart of a teacher, not the heart of a salesperson" quote from Dave Ramsey-financial guru.  

I know I have the heart of a teacher and I will continue to help you in keeping current in the Barrington, RI Housing Market because it matters.