The past 5 years have not been fun for real estate agents and builders. Being constantly on the defensive while trying to motivate buyers and sellers to move, lending standards that the Pope would be intimidated by, and an appraisal system that is suffering from post traumatic stress disorder has not helped ones digestive system.
Let’s face it, TUMS could have made a fortune sponsoring the National Association of Realtors.
But are the hard times in our rear view mirror? Take a look at this excerpt from the National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI):
In all, 74.9 percent of homes sold between the beginning of October and end of December were affordable to families earning the U.S. median income of $65,000. This was up nearly a percentage point from the 74.1 percent of homes sold that were affordable to median-income earners in last year’s third quarter.
“The most recent housing affordability data should be encouraging to many prospective home buyers, because it shows that homeownership remains within reach of median-income consumers even as most local markets appear to be on a recovery path,” said NAHB Chairman Rick Judson, a home builder from Charlotte, N.C. He noted that the most recent reading of the NAHB/First American Improving Markets Index found that 259 out of 361 metros currently qualify as improving, including representatives from all 50 states and the District of Columbia. via the NAHB
Now we all know real estate is about the local market, but these numbers will help the national confidence and psyche when it comes to taking that next step. 259 out of 361 markets improving? That is fantastic news.
Then add the low interest rates so affordability is improved, sellers that are more realistic in their pricing, and we may have something going on here…
Nothing is worse than blowing smoke about something you are selling, and real estate agents (not to mention the National Association of Realtors) do not have the best reputation when it comes to being as upfront with their clients. But when you have a great product at a great price combined with a market that is enthused, selling homes becomes much more pleasant.
I have been pretty pessimistic watching the real estate world the past few years, but even I am thinking that we may sell our house this year and buy in our new town.
And if I am happy, you know things are looking up.
These are very interesting stats, and this has made me eager to look into South Africa's property market and see if they too are on the road to a better market. I have been told that currently in South Africa we are in the perfect buyers market, do you think this is true?
Yeah off-course this is the time, and this is the great opportunity for buyers as well as sellers also to be a part of this and get benefit in the form of 2013 home. thanks for sharing
2013 is definitely a good year for both real estate buyers and sellers. As a Realtor based in Charleston Carolina, I have seen the improvement in the real estate market for the past year and I think it'll continue to grow and improve this year and the coming years.
We’ve seen numerous multiple offer situations in the Charleston real estate market over the past month as our inventory drops. It’s taken about a year for buyers to realize that we’ve already passed the bottom of the market and that it is – seriously – a great time to buy!
I think it is time for people to buy. The market this year has quickly shifted to a sellers market with extremely low inventory. I am noticing pricing are rising as well. If you were waiting for the bottom, I think you waited 1-2 years too long. Of course there is always the chance that we only hit a false bottom and what goes up must come crashing down. Who knows. It's all a gamble these days! lol!
I think you and I share the same frustration. This marketplace has too many factors to give a solid opinion.
I agree. Besides I knew some people who are into buying and selling homes and they are all succeeded.
My concern is how sequestration in the U.S. will affect the housing market. I have heard and read the dire predictions about the effect of mandatory furloughs on the processing of FHA and other government-backed loans, as well as the potential increase of the minimum down-payment for government backed loan. This seems to portend a screeching halt to a real estate rebound. I'm curious to hear your thoughts, and those of others in the active market.
I do not think sequestration will hurt if it is fairly implemented. However, if the government bureaucrats want to punish folks for forcing a cut in their ever growing bureaucracy, then you may be right. Actually, you are right, because that is the logical action for a threatened government worker. They want the consumer to share any pain they feel.
I agree with Tom. Big play on words and I think it is kicking Obama in the butt. He was hoping it would hurt hard and play the people against the republicans, but it backfired when it really hasn't affected the people or the economy in my opinion.
However, if the government bureaucrats want to punish folks for forcing a cut in their ever growing bureaucracy. Its really nice article thank you for sharing..
Let's be honest, real estate agents always say the best time to buy is now – because there is no way to tell what will happen in the future. And on top of that, the fluctuations in housing prices is just too vicious….
I plan on selling my new home somewhere around the 3rd quarter in 2013 and buy a new one.