HEADLINE: Baltimore Sun: Shortage Of New Homes Seen -- Credit Crunch Means Fewer Units Will Be Ready When Recession Eases
Analysts have been predicting a shortage on new homes in the Puget Sound area will start in September due to the lack of new construction permits being issued.
Looking at this chart ... (Eastside - New Construction - Based on Pending sales)
...You can see that the months of inventory are shrinking. And at this rate, we will get to a balanced market after September. If it continues we will be in a Seller's market by early next year for new construction. This, some believe, will put pressure on the overall market and push prices higher in 2010. A year from now, concerns about buying a home only to see it loose value will be behind us.
And the headline- That's from the Baltimore Sun - 1991. When you read it you get a different perspective about today's news.