I guess you could ask 100 Realtors this question and get 100 different answers. Even agents in the same geographic area will have varying responses. Here’s what I think based on what I have been experiencing.
In the Treasure Valley, the market is improving. That is not to say that we don’t have our fair share of distressed properties. We do. It also doesn’t mean that home prices are soaring, but in some areas prices appear to be stabilizing and even rising slightly. The market is interesting to say the least. According to January numbers from the Intermountain MLS for the last three years, the percentage of Active Properties (listed for sale) vs. Pending Properties (under contract and waiting to close) has significantly improved. Also, notice that the inventory is very low. This means that quality homes that are priced right are selling more quickly.
New Construction Numbers:
01/2010 1582 200 13% pending
01/2011 1298 145 11% pending
01/2012 1014 198 20% pending
Existing Home Numbers:
01/2010 8362 1285 15% pending
01/2011 7228 1190 16% pending
01/2012 4885 1470 30% pending
The biggest complaint I hear from agents these days is about lack of inventory. The buyers are out there, and why not? Prices are good and interest rates low. The problem is that there isn’t much to buy. Well qualified buyers are waiting for “the house” to come on the market. It seems sellers are holding tight. Perhaps they think that prices will increase, or maybe they are just afraid to find out what their home is worth.
As a Realtor, all I can do is spread the word that buyers are waiting – perhaps for your home! It would be nice if we could get sellers back into the game.