Many friends ask me questions about the state of the Real Estate market today, some with sadness, some feel bad for me - after all - I am a Realtor.  

What is the state of the market? Well, let's look at the numbers for starters. Prices in our area have dropped 35% since this time last year, that is a huge drop by any measure. However, the relevance to that drop in price is that the previous estimates were hovering around the market being roughly 30% overpriced. How does anyone decide when it is over priced - and how much? They look at the demographics of the area, how much does residents make and how much would that allow them to spend on housing. So, when the market drops 35% in an estimated 30% overpriced market, one might consider the possibility of the market being very close to corrected.  

At the same time, our local markets currently have a 16% drop in inventory along with a 17% increase in sales. We do know that the average time on market is still astronomical, but consider that correctly priced properties are selling in anywhere from 1 day to a month, those properties are currently the items to look for.  

Essentially, when demand changes, the market will follow. In our current market, demand is going up and it is expected to start driving prices over the summer.  

If you are considering a purchase, now would really be the time to start, since it takes a little time to get ready financially and then find your property, a good 90 days would be the timeframe for closing. That would at writing time put us in mid Sept. and in what is expected to be the end of the bottom of the market.  

When my friends feel bad for me, I tell them a few things about the current state of our market. Most of them ask how many they can have and how soon. As you know, the best investments are made at the bottom of the market - and that would be now.