Our local market is preparing for an upswing real soon. All of the numbers suggest the housing market will have a good surge by second quarter 2007 at the latest. The D.C. Metropolitan economy is very strong and is helping to stop the housing decline. Lets face it, the decline helped to weed out some of the people who were too spoiled by the extremely strong housing market over the past several years. Now loan officers are actually hitting the streets to meet and bond with their realtors,like they did when they first started. Those who have hit the streets and keep up their visibility will thrive and prosper. As you can see in this chart below provided by Area Appraisal Service shows the market is still slow for contracts, but at my office their are more prequals this month than in the last 2 months combined. I believe this spring will show an improvement over last spring and will grow at a steady pace, not a frentic pace like in the past. Good luck to everyone and keep your hopes high .
(Number of sales - year over year) Oct. 2005 to Oct. 2006
Former Federal Reserve Chair Alan Greenspan recently said that housing prospects are looking up nationwide. "Most of the negatives in housing are probably behind us. The fourth quarter should be reasonably good, certainly better than the third quarter." According to industry estimates, 2006 will be the third-best year on record for home sales. Given that our region has economic indicators exceeding the national average (i.e. employment growth, procurement), our market correction should be viewed favorably, especially for discerning buyers.