The real estate market and the economy continues to fall. In recent months, credible organizations have reported that the number of houses sold has increased for the first time in several years. Does this mean that the housing market has finally bottomed and that now is a good time to buy a home?
There are some very interesting numbers I want to share with you before I give you my answer on the question is 2009 the time to buy a house. First time home buyers were responsible for 11% of all home sales for the first half of 2009. The selling price of homes in certain areas rose last month. Real estate agents report that the number of people looking for a home to buy rose from 170 to 203. The number of sales per agent also rose from 8 to 9.
More and more people and analysts are asking the question, "Is 2009 the year to buy a house?" In a recent survey by more than 50 real estate economists, more than 60% believe that 2009 is a good year to purchase a home. Another factor influencing the sales of homes is interest rates. If interest rates remain low throughout the year, by the end of 2009 home sales should pick up. Most economists agree that more home sales will result from customers being attracted into the market by both low prices and low interest rates.
40% of industry analysts surveyed feel that it is too early to buy a house. They believe that the price of houses will continue to drop. The reason they give is that unemployment will continue to remain high. Even more workers will worry about job security. The banks will continue to reduce credit lines and make fewer home loans. Capital Economics forecasts home prices to fall another 20% before a bottom is reached in late 2009 and early 2010. A small amount of extreme analysts expect home prices to fall all of 2009, 2010, 2011, 2012, 2013 and finally bottom in 2014.
It is my opinion that you should not feel rushed into buying a house right now. You still have plenty of time. Remember, the economy is still in a recession. Big ticket items like homes and cars are the first to drop in any recession. What makes this recession worse is that banks are not lending as much money as they typically do in a recession. People are continuing to be laid off as evidenced by the rising unemployment rate. Homes continue to go into default at an increasing rate. All of these negative factors will continue to make the demand for houses be very low which means a huge supply of unsold homes will remain on the market for many months to come.
The idea that a house is a good investment continues to be called into question as house prices fall. The housing market currently favors very low prices and homes that are priced to match the market valuation will be sold quickly. There are good deals on homes in 2009, but one may find even better deals later in 2009 and into 2010.
There are some very interesting numbers I want to share with you before I give you my answer on the question is 2009 the time to buy a house. First time home buyers were responsible for 11% of all home sales for the first half of 2009. The selling price of homes in certain areas rose last month. Real estate agents report that the number of people looking for a home to buy rose from 170 to 203. The number of sales per agent also rose from 8 to 9.
More and more people and analysts are asking the question, "Is 2009 the year to buy a house?" In a recent survey by more than 50 real estate economists, more than 60% believe that 2009 is a good year to purchase a home. Another factor influencing the sales of homes is interest rates. If interest rates remain low throughout the year, by the end of 2009 home sales should pick up. Most economists agree that more home sales will result from customers being attracted into the market by both low prices and low interest rates.
40% of industry analysts surveyed feel that it is too early to buy a house. They believe that the price of houses will continue to drop. The reason they give is that unemployment will continue to remain high. Even more workers will worry about job security. The banks will continue to reduce credit lines and make fewer home loans. Capital Economics forecasts home prices to fall another 20% before a bottom is reached in late 2009 and early 2010. A small amount of extreme analysts expect home prices to fall all of 2009, 2010, 2011, 2012, 2013 and finally bottom in 2014.
It is my opinion that you should not feel rushed into buying a house right now. You still have plenty of time. Remember, the economy is still in a recession. Big ticket items like homes and cars are the first to drop in any recession. What makes this recession worse is that banks are not lending as much money as they typically do in a recession. People are continuing to be laid off as evidenced by the rising unemployment rate. Homes continue to go into default at an increasing rate. All of these negative factors will continue to make the demand for houses be very low which means a huge supply of unsold homes will remain on the market for many months to come.
The idea that a house is a good investment continues to be called into question as house prices fall. The housing market currently favors very low prices and homes that are priced to match the market valuation will be sold quickly. There are good deals on homes in 2009, but one may find even better deals later in 2009 and into 2010.
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May you find this information helpful in deciding if you should buy a house. If you are a property owner in Fresno California and are looking for a property management company visit Fresno property management. If you are a renter looking for the best deals on apartments in Fresno, visit apartments for rent in Fresno CA
