Is yet to come...
No we still haven't hit the bottom of the housing decline but there continue to be positive signs for home buyers. With sales of existing homes increasing nearly 3% in April, primarily due to strong numbers of purchases in low price ranges.
First-time buyers continue to influence the market but there also is a seasonal rise of repeat buyers. According to
Lawrence Yun, National Association of Realtors chief economist,“Most of the sales are taking place in lower price ranges and activity is beginning to pick up in the midprice ranges, but high-end home sales remain sluggish.”
Which can be rather frustrating for clients who are qualified to buy in the low $400s that seem to be competing with many other home buyers almost always resulting in multiple offers and bidding wars.
Yun continues, “Because foreclosed properties will likely be released into the market over the rest of year, it is critical that distressed homes be quickly cleared from the market. Fortunately, home buyers are being attracted to deeply discounted prices and are bidding up many foreclosed listings, particularly in California, Nevada, and Florida – this will set the stage for healthy market conditions going forward.”
Let's hope so, Yun! One thing's for sure is that we need to fix unemployment otherwise more homes will be lost to foreclosure and prices will continue to slump with only fewer well-qualified buyers willing to make the plunge into home-ownership.
Central A/C
