It wasn’t long ago that the United States was in one of the worst housing crisis’ in it’s history. 2008 was a bad year. But, here we are just a few years later and things have changed significantly. We are no longer in a dark free fall and if we continue on this trajectory, 2013 in California Real Estate will be sunny and bright.
From 2008 until now, a majority of the foreclosure and short sale inventory have been sold. The numbers of short sales and foreclosures available for purchase has gone down substantially. But it’s not only the distressed inventory that has decreased, it’s overall numbers. There is just not much out there right now.
As the previous signs have shown, the dust is beginning to settle. With a majority of the distressed properties hit buy the housing crisis already sold (many were bought by flippers and investors, who flipped and rented or resold), we have returned to an almost normal, slowly recovering real estate market.
With a slow recovery comes a slow build up of confidence from buyers. Simultaneously, some sellers are just happy to be stable and aren’t very interested in selling right now. They have also seen prices start to go up. In response, some want to see where this incline is heading. Overall, everyone is still a little stagnant, but we are starting tomove here in California.
The Bay Area specifically, has been, and will continue to be the hottest real estate market in the country over the next few years. The job market continues to thrive, especially in the South Bay, leaving the demand for real estate at the highest levels in the country.
If you’re selling in 2013, you will get multiple offers on an average property. You may not get everything you will you get in a few years from now, but you will get a good price, relatively speaking. Selling and upgrading is a good idea right now.
If you are buying in 2013, be prepared to compete. Property is scarce so you have to be aggressive this year. The good news is, if you can get in now, rates will never be lower and home values are only going to go up. You have been hearing it for a few years now, but now really is “the time to buy”. Or actually yesterday.
2013 is going to be a great year for California Real Estate. I hope you are ready.