Real Estate’s Top Ten for 2012

2012 has been an historical year for real estate. We have seen a positive shift in the market; driven by historically low interest rates and lower adjusted prices which have brought out motivated buyers. The shortage of inventory has caused multiple offer situations to become increasingly common. The following are the top stories of 2012:

 

 

1.  THE RESIDENTIAL MARKET FLIPPED FROM A BUYER’S MARKET TO A SELLER’S

2.  MARKET SHORTAGE/LOW INVENTORY OF HOMES FOR SALE

• There is a shortage of homes for sale in the price ranges where approximately 90% of sales activity   is taking place

3.  MULTIPLE OFFERS INTENSIFY THE MARKET

• Need to be buyer ready to get a home

4.  PRICES BEGIN TO RISE IN THE MORE AFFORDABLE AND MID PRICE RANGES

5.  HISTORICALLY LOW INTEREST RATES CONTINUE

6.  STRONG SALES ACTIVITY

• Elevated number of residential investors in the market
• Local home buyers regain confidence and reenter the market
• Surge of buyers close to job centers
• Market conditions activate “on the fence” buyers

7.  RESTRICTION OF NEW LISTINGS COMING ON THE MARKET

• Underwater sellers waiting for an increase in home prices
• Few new condominiums have come on the market
• Sellers with equity have been waiting for prices to increase

8.  SINGLE FAMILY HOME BUILDERS START TO BUILD AGAIN

9. BUYERS USE MOBILE TECHNOLOGY

• Mobile real estate apps give buyers an extra edge when searching for a home
• Mobile GPS home search apps instantly pull information on homes for sale from wherever the user is currently located

10.  HEADING INTO 2013 US CONGRESS AND HOUSING REGULATORS ADDRESS HOUSING ISSUES AND MORTGAGE FINANCING

• Their decisions will impact the foundation for a sustainable housing market