Real Estate Recovery
There's no question we are finally in a full housing recovery.
In order for a recovery to exist, three things have to happen:
* Sales to increase from the bottom lows we we're at.
* Prices to have a turnaround.
* Inventory turnaround to a more normalized level.
In Sep of 2011 sales started to really take off and ever since that time we've been building from a sales standpoint.
Prices made the turn in the middle of last year. Now we're positive every single month and getting a little bit better year‐over‐year than they were the month before. However, that's starting to abate right now.
The third thing that we were waiting for is when will inventory shift? As sales were really taking off, inventory wasn't coming to the market because people didn't really fully believe in a housing recovery yet.
That caused prices to go up rather dramatically. But what we're starting to see is that inventory is starting to come back.
As far as the recovery is concerned, sales are up for almost two years now, prices have been up now for about 15 to 18 months and the inventory since the beginning of the year is getting better. Not that it's where we need it to be, but it's getting much better.