Is this the moment homeowners have been waiting for? Could it be the end of the buyer's market? We've heard this many times before from all sorts of media outlets, but now could it be true?

Last August we shared data from 2012 with our clients that pointed to the bottom of the decline in housing prices in Inverness. Once a decline stops, balance can be restored between the home seller and home buyer. For the past several years, it has been unquestionably a buyer's market, but is this finally at an end? The short answer is YES!

No one can predict the future, but as I follow the local trends of sales, inventory and buyer demand within Inverness, I would have to say we're seeing the light at the end of the tunnel. So, has balance really been restored? I believe the answer again is yes. 2012 single family home sales in Inverness were up over 80% from 2011's pace, based on MRED data. I've also watched the inventory of homes for sale in Inverness drop to their lowest levels in many years, from a high in excess of 3 years inventory to now less than 1 year.

What about pricing? California based CoreLogic Inc. reported U.S. home prices experienced their biggest increase since May 2006. Prices have not jumped up substantially from their recent lows, but as more buyers compete for fewer available homes, prices will rise over time. Tighter lending practices, more thorough underwriting standards, and a highly scrutinized appraisal process will keep the values growing at a more realistic and sustainable pace. According to the National Association of Realtors, existing home sales actually fell below their normal rate this past December due to tight supply. Rarely does a single community mirror a national statistic exactly. Different areas can trend in different directions or at a different pace than the national averages. I see Inverness, with its lower inventory, ready to start building on the stabilized market that currently exists here.

Nationally, inventories are predicted to remain tight while many potential home sellers have to wait for prices to rise before they can even cover their mortgage and closing costs. While this can also be true in Inverness, I do not believe it will be the determining factor for the majority of Inverness residents.

What does this all mean for you? All of this could mean a couple years of a seller's market! Are we talking double digit appreciation? Most likely no, but it's great to finally see prices trending upwards. It is also great to be able to share some upbeat information. If I can help guide you as to whether it is the right time for you to consider selling, please feel free to contact me. I'm always pleased to be of service.

Contact Information

Chris Jacobs
847.963.0400
Chris@InvernessForSale.com

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