LONG VALLEY, N.J. – Shhhh. Don’t read this too loudly yet….but it appears that more and more experts believe that the housing market recovery is finally here.
They’re drawing that conclusion based on how well homes are selling and a variety of other data. For example:
- Nationally, CNNMoney talked with 14 leading economists about home prices. Nine of them say home prices already have turned higher or will make that turn later this year.
- According to the economists, housing started adding to economic growth in the Fourth Quarter. Housing always has been a key part of the economy, but has been a drag on financial markets since 2008.
- Some of those economists say they believe that buyers who postponed housing purchases while the market was panting on the floor are now more comfortable with the economy and their own prospects. They have their checkbooks out and they’re jumping into the housing market.
“Economists have been encouraged by a variety of readings, including three straight months of increases in the S&P/Case-Shiller home price index, a pick-up in sales of existing homes and home construction and a big jump in the price of new home sales,” writes Chris Isidore at CNNMoney.
These figures coincide with what we’re seeing in the Morris County area. Members of The Holmquist Team are seeing well-priced and well-staged homes sell fairly quickly. We’ve even seen bidding wars. We’re also seeing more homes coming on the market. And other Realtors tell us they’re seeing the same thing
Jeff Otteau, a well-known observer of the New Jersey real estate market, this week said that sales contracts for homes in New Jersey increased by 29 percent over the same period last year. It’s the eleventh consecutive month for such an
increase. What’s more, the sales pace this year is 10 percent higher than it was in 2010, when government tax credits were spurring on the market. He adds
that the number of homes for sale in New Jersey is at the lowest level since 2007.
Otteau attributes the strong market to lower home prices, lower mortgage rates and a “favorable rent-to-own comparison.”
Am I ready to declare the housing market recovered? I’m not sure. But I can tell you that we’re busier – and more successful -- than ever and that if you’re
thinking about buying or selling a home, now is the time.