Optimistic Outlook for Housing Market in 2013
by Gina Ragusa
Housing experts are feeling optimistic that the market is on an upswing after tracking positive growth over the past year.
Based on activity throughout 2012, economists and Realtors believe that prices are on the rise as inventory tapers off. Amanda Wilson, a Fort Lauderdale, Florida Realtor tells the Sun Sentinel that inventory in one of the hardest hit markets has finally become tougher to secure. “What really moved the market in 2012 was the lack of inventory. People were looking for properties they could have bought 18 months ago, but they couldn’t find them. They waited too long.”
In fact the elusive “bottom” that everyone waited to reach for so long may have been hit during the first part of 2012, paving the way for a gradual rise and recovery.
Robert Johnson, director of economic analysis for Morningstar tells Time Magazine that housing will play a major role to economic recovery this year saying he believes that, “direct housing investment will be a meaningful contributor” in 2013. He adds that other industries that contribute to housing such as furniture manufacturing may be positively influenced as a result.
In addition to inventory, other key indictors of a growing market include rising prices, falling delinquencies and the continuation of historically low interest rates. Housing market analytic company Trulia reports that prices climbed by 3.8% since November 2011–one of the largest increases since 2007.continue reading »