Market update at glance thru April 2013

Market update at glance

April 30^th 2013

As I sit and review the performance of the market for the first four months of 2013, the increase in in unit sales is outstanding, the decrease in market time is phenomenal, the increase in pending sales is a positive trend, the market velocity is a decreasing increase year over year in closed sales, this is one of the most positive actions within the market. The reason for its positive effect is the increase in unit sales becomes a sustainable momentum and not a setup for a bad stumble. The other positive from the market behaving in this manner is that the movement of prices up becomes a more solid base to build appreciation on. The market has experienced a 6% approximate pricing movement year over year, as we get further into the year and both sellers and buyers gain confidence in the economy of Yellowstone County as mentioned above the price gains become solid. In March of 2013 there 2214 more people working in Yellowstone County than in March of 2012 and 5942 more working than in March of 2011.The pricing trend will be interesting watch develop. With interest rates  9.6% lower than last March and with the  price movement, it is actually was cheaper to buy a home this April as compared to last April by $20 a month and $78 cheaper than in 2011. The other amazing factor is, to purchase the median price home your payment will $40 a month cheaper than renting the median priced home for rent, another distortion of the market place by the extremely low interest rates. I would have to believe we are very close to the end of that continue declining interest rate cycle, at some point in the near term the Federal Reserve will stop buying 85% of the mortgages originated in the United States. Then housing market will have to survive with money raised in the private market instead of the Federal Reserve printing the money. I hope you find the information both useful and enlightening, if you have any questions about either buying, selling or the market in general do not hesitate to call or email