Economy Headed Toward Recovery

Thanks to the success of home buyer tax credit to date, the outlook for housing and the economy appears to be headed toward recovery.

Executives from some of the largest brokerages in the country expect to see their sales grow 6-8 percent in 2010 and home prices to start heading up about 3 percent. Existing-home sales are expected to total 5.01 million in 2009, a gain of 2.0% over last year, and then are forecast to rise 13.6% to 5.69 million in 2010.

It is expected that the expansion of the tax credit to include repeat buyers will help boost middle-market sales for next year. The improvement in the middle market will help tighten inventories, helping to shore up prices.

It looks as though we have seen the worst of it!