Our Local Market is Prospering
“It’s amazing what can happen in just two years…”
The WV Real Estate market outlook points to prosperity on all sides.
Don’t believe it? Check out these national averages:
• Last month, more homes went under contract than we’ve seen since June of 2013.
• From March 2014 to March 2015, an 11 percent increase in home buyer activity rose up, according to figures from the National Association of Realtors (NAR).
• March 2015 showed the third straight monthly increase in pending sales.
• Construction starts rose by 2% in March compared to February.
• March sales of previously-owned homes rose 6.1% to hit their highest level in 18 months.
• Prices for previously-owned, single family homes appreciated by 4.2% from February 2014 to February 2015
• Compared to February of last year, all regions in the U.S. saw an increase in contract signings.
These signs all do something important to the minds of home buyers, home sellers and WV Real Estate agents alike: They instill confidence. So much confidence arrived that sellers are now having trouble keeping up with the demand.
We see in the figures above that March 2015 broke records with properties selling at a faster rate than we’ve seen in over a year. Now, can WV Real Estate agents keep up with the demand and rising home prices?
“Demand in many markets is far exceeding supply, and properties in March sold at a faster rate than any month since last summer,” said Lawrence Yun, NAR chief economist. “Simply put, housing inventory for new and existing homes needs to improve measurably to improve affordability.”
On the flip side to this, buying a home now could become a far better investment than ever before as houses continue to rapidly appreciate in value. In nearly one year, home values, on average, have risen by 4.2 percent, according to statistics from NAR.
Many would-be home buyers seem to be taking the plunge as our numbers above indicate: The sales of previously-owned homes in the last month rose to their highest level in nearly two years. What does this mean? Now could be the opportune time to turn a simple home-buying experience into an investment that’ll yield a great return.
Low interest rates, home appreciation increases and a solid economy can’t last forever. Rent prices are expected to rise by another 3.3 percent this year, according to Reis Inc., a commercial property tracker. Keep in mind: when the value of renting goes up tenants lose, however, when the value of homes goes up, homeowners win.
It’s all about jumping into the housing market at the right time so you can began building equity. We believe that limited window of time is now.
By: Chuck Boggs