Market Summary - November 2008

Composed by Sara Huebener

It is no surprise that the real estate industry is going through some major changes right now.   Local statistics show there are ten to twelve buyers for every home on the market.   As we approach winter, fortunately, inventory is declining.

High foreclosure and short sale inventories continue to drive down home prices.   During this period, first time homebuyers and investors are seeing phenomenal opportunities to buy homes at a great price.  

 While credit has tightened and interest rates have remained steady and/or increased very slightly, a $7,500 tax credit for first time homebuyers has enticed many soon-to-be buyers to get off the fence and begin the home buying process now, before the expiration of the tax credit in July 2009.

Consequently, homes in lower price brackets are moving much quicker than homes in higher price brackets.  Sellers in higher price brackets have increased pressure – their homes must be in the best condition, in the best locations, and at the best price, in order to see offers materialize in a reasonable amount of time. 

Today's market presents favorable opportunities for sellers planning to:

• Purchase a larger home, or are
• In a positive equity position.

Today's market presents favorable opportunities for buyers planning to:

• Purchase a first home,
• Purchase an investment property,
• Purchase a larger home than what they currently own.

People who have always considered buying investment properties should explore these options now.