Last week you may have noticed that rates on a 30-Year mortgage rose slightly along with new homes sales reported by builders. Several markets have also reported rising home sales. The housing market still may have a long road to recovery as we still have another wave of foreclosures that the banks are backed-up on along with a still sluggish job market. The bottom-line is that we have improved from last years statistics, California included.
There are still buyers who cannot take advantage of rates due to stricter lending requirements, lack of current homes on the market and job security. So we can expect that there will be a continued stream of buyers in the future if rates remain low as predicted. This combined with the current inventory, we should be able to coast into the New Year with a steady demand.