Where Is All The Sonoma County Real Estate Inventory?
August 10th, 2009 categories: Buyer Resource, Seller Resource
The timing is perfect. Low Mortgage Rates, a Housing Affordability Index recently at all time highs, and plenty of home buyers…all we need are homes!
Lately here in Sonoma County, we have had a lot of buyers looking at seemingly everything that comes on the market. On June 12, 2009 I posted an article speculating that home prices will start to increase in the entry to mid level price ranges, and that we have likely experienced a bottom in prices. So far this has held true, but we do have some time to go. If prices hold as more inventory comes on the market, we should not expect prices to decline…rather remain stable or appreciate from these levels.
So where is the housing inventory? Good question. We really do not know where the inventory is. Foreclosures are somewhat of a lagging indicator, as is inflation. As the economy took a dive 18 months ago, and that continues to today, unemployment numbers have steadily dropped (except for this past Friday), we think that there HAVE to be more foreclosures hitting the market in the future. How can people who do not have jobs remain in their homes? It is largely up to the banks to decide to foreclose, so there is another wildcard.
Lastly, as prices increase, people who want to sell their homes may feel that this is a better time that is the past, and may begin to list their homes.
Bottom Line…I do not have the answer on this one…only saying that eventually, more homes are likely to hit the market.
To be informed of newly listed inventory, visit us at Sonoma County Real Estate to sign up for listing alerts of ALL new listings to hit the market.
