We have heard all kinds of different sources say a weigh in with multiple different theories. Even though they have varying data, one thing is consistent the bottom of the housing market has come and gone. If you were waiting for the bottom of the housing market you have missed it. Here in Tampa the market is and has been making a steady comeback.
Bottom of Housing Market -You did miss it
According to Lawrence Yun, National Association of REALTORS(R) (NAR) chief economist, says December’s robust bounce back caps off the best year of existing sales (5.26 million) since 2006 (6.48 million). “While the carryover of November’s delayed transactions into December contributed greatly to the sharp increase, the overall pace taken together indicates sales these last two months maintained the healthy level of activity seen in most of 2015,” he said. “Additionally, the prospect of higher mortgage rates in coming months and warm November and December weather allowed more homes to close before the end of the year.”
The median existing-home price for all housing types in December was $224,100, up 7.6 percent from December 2014 ($208,200). Last month’s price increase marks the 46th consecutive month of year-over-year gains.
Total housing inventory at the end of December dropped 12.3 percent to 1.79 million existing homes available for sale, and is now 3.8 percent lower than a year ago (1.86 million). Unsold inventory is at a 3.9-month supply at the current sales pace, down from 5.1 months in November and the lowest since January 2005 (3.6 months).
“Although some growth is expected, the housing market will struggle in 2016 to replicate last year’s 7 percent increase in sales,” adds Yun. “In addition to insufficient supply levels, the overall pace of sales this year will be constricted by tepid economic expansion, rising mortgage rates and decreasing demand for buying in oil-producing metro areas.”
The number one factor that you must always remember is it really depends on where you live. Real Estate is very specific, here in Tampa we have some communities with a sold price per square foot at $80.00 (resale homes) and others at over $200.00 a square foot. In Tampa if the home is priced right sellers are seeing multiple offers and receiving at least 100 percent of their asking price.
So if you are ready to purchase your new home. Nick and Cindy Davis are always just a click here or call to 813-300-7116 away.
Excerpt from The National Association of REALTORS(R) (January 22, 2016)