Market Update for April 2012
We're Keeping Steady
Okay folks, here is another market update! As I’m sure many of you do, I like to look at the stats at the end of every month to see how home sales have changed and look for trends in the market. So here we are at the end of May 2012 and it’s time to check in with the market. Here are some statistics that are pertinent to look at (from RealtyTimes.com):
“Sales rose by 3.4 percent, bringing the total amount of existing-home sales to 4.62 million.”
“Regional prices varied, but all increased. The Northeast has the highest current median price-tag at $256,600. The West followed at $221,700. The Midwest still holds the title for lowest median home price at $141,400”.
The reason why the regional price information is so exciting is because this is the first time since 2010 that the market has seen back to back price increases from the year prior. Extrapolating this trend we will hopefully see another 1-2% price increase for 2013.
What will help this trend keep going is an increase in inventory, which all of us in the business have been thirsting for! The banks have yet to increase the rate at which they release foreclosures into the market and we’re still feeling the effects. Inventory over the past month or so has been at 9.1% which is less than half of what they were a year ago at 20.6%.
I believe that this lack of inventory has been driving the competition within the market. I’ve seen little to none low ball offers and I have yet to have a house this year that doesn’t receive multiple offers. At the end of last year this trend didn’t exist; Home prices were down and interest rates were rock bottom - it was undeniably a buyer’s market. However, with these recent changes and trends in the market it has shifted to a seller’s market in many areas.
This is why so many analysts and statisticians believe that the market is in recovery. Despite the fact that inventory is a bit lower than all of us would like, prices are getting better and so are home sales so take encouragement and keep an eye out for new market trends!
For more tips, information and market updates be sure to visit the rest of my blogs and the website of the company I co-Own with our Broker, Forest, The Guy in the White Hat. We’re always making new videos and blogs on current market statistics for lending and real estate, our newest listings and general tips.
Lynn Tardibuono – Flipper Chick- Real Estate Agent and Co-Owner of Sun Pacific Mortgage and Real Estate. Serving Sonoma County since 1988. Her number is (707)523-2099 and you can also visit our redesigned website at http://www.sunpacmortgage.com Also be sure to like us on facebook! Click this LINK! DRE license #01014873