Further Proof the Real Estate Market Is Coming Back

Locally here in Seattle the real estate market is brisk. I've seen more multiple offers on good homes than I have for a long time. A broker in my office had an open house on a new listing in West Seattle. It was a good home and reasonably priced. There were 7 offers on it and sold for about 15% more that asking. While not typical it does show the lack of inventory.

 If you have been waiting to sell now is the time to take advantage of the market which can turn on a dime. I remember the market values increased by 3% per month for six months from September 1989 to April 1990. Then the market was flooded with homes and the subsequent 10% price drop.  It took 2-3 years for the values to come back and surpass the previous high market. This market will repeat history. It has been 5 years since the real estate market crashed and I predict in another 2 to 3 years the values will be back to what they were at the top of the market.  Watch for more details on my reasons behind my predictions in a subsequent post.

Last week, the National Association of Realtors (NAR) released their Pending Sales Report which showed that contracted sales were 12.8% higher than the same month last year and higher than any time since sales were impacted by the Homebuyers’ Credit back in April of 2010. The index stood at 101.4 which represents a level that is “historically healthy” (see methodology below).

via Further Proof the Real Estate Market Is Coming Back