Seems like just the other month, my scribblings about the Hover Market (4/9/2009), paralyzed buyers, and a torporific real estate climate. Things now couldn't be more different.
The reporting frequently trails the phenomenon, and it isn't long term recovery I herald; but, a buying orgy has commenced around Los Angeles, with transactions hard-packed around the credit-accessible, conforming loan limit figure of $417,000. The
pending home sales index (PHSI), a forward looking indicator, noted the transaction swell nationally; while, many in-house tabulations (by area brokerages) claimed an exponential jump in volume. Additionally, the median home price registered a 2.2% increase from March to April, a significant watermark, and the biggest month-to-month gain, according to a source reported on Bloomberg.com, since June 2005.
More than mere "Spring Bounce," many buyers are emboldened by good ol' fashioned affordability, and the prospect of a mortgage, helped by low interest rates, that shadows their rental payment. Multiple offer scenarios have returned, while opens are flooded with first-time buyers eager to burst from years of cocooning. Stay tuned for the April/May numbers.
Labels: Real Estate Rants