As I have mentioned before, there are a lot of potential home buyers on the sideline, looking for deals steals, and trying to gauge a market bottom. Nothing new with this strategy ( buying as low as possible ) especially in light of today’s uncertainty in the market.
The “experts” continue to weigh in, and I thought I would pass on a few points taken from today’s online article When home Prices Hit Bottom, over at CNNMoney.com .
- If you are thinking of selling, you might want to wait due to high inventory & lower prices
- Nationwide, home prices may hit bottom in late 2009, assuming government action works.
- Recovery may be gradual. Prices may not return to 2006 levels for another decade.
- Buyers need to think long term, take advantage of record low interest rates, and know thy market.
The Ruidoso area market is seeing signs of recovery, as buyers take advantage of the current market conditions (high inventory, motivated sellers and great interest rates). In general, sellers in our market are not as desperate to sell and/or reduce prices, as in markets such as Phoenix, AZ or Las Vegas, NV where foreclosures are common. The media reporting on these areas would lead one to believe that all sellers are distressed, and we may have a few sellers that are, but most sellers in our area will only accept offers that are reasonable.
It is important to remember that “real estate is local” and all buyers and sellers should follow their local market conditions, and weigh the factors necessary to make informed decisions.
I will continue to provide in depth analysis of specific areas within our market as well as historic data on local subdivisions. If you would like information on an individual property or subdivision, please contact me, or email mary@ruidoso-homes.com or call or text me at 575-937-5229.
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Great points here with regard to real estate being local. When there is talk about the foreclosures and many challenges in the market, it is easy for people to believe that it is happening everywhere when in fact that there is a concentration in CA, AZ, NV, and FL.
I work the Phoenix real estate market so we do see much of what you mention in regards to ‘distressed’ transactions though we are seeing rapid changes now as buyer activity is at a record level and inventory has dropped over 11,000 properties since 1/1/09. As such, it is good to see that your local market didn’t get hit with the challenges that ours did.
So, again, great post here to make buyers aware of how to think about buying in the markets we have tied in with the need to understand what your local market is really doing.
David Lorti, LortiHomesBlog.com