"The worm will turn, " was one of my father's favorite expressions. He was in sales for over 40 years. While I listed to real estate industry leader Steve Harney's presentation this week to local real estate professionals I thought of my Dad. Harney's bottom line is that 2011 is the year the housing market will normalize. His research is extensive. He tells a clear story backed with data. This is the year the worm will turn.
I decided to test out Steve's theory with some local data we have compiled from the Multiple Listing Service. Looking at the month to month movement, we see an upward surge moving into 2011. Remember the tax incentive created a surge in sales last year. It is interesting to see single family/condo, Brookline/Newton, the direction is similar. Average sale prices are also up with the exception of Newton condominiums. Prices are determined by supply and demand so as the market normalizes, we hope to see prices continue to climb. Do you have questions about the market? I'd love to hear from you. In the meantime, I remain optimistic about the market in 2011.