Real Estate News – “We’ve only just gotten the major data reports for January, and … things are looking good. …”
Real Estate News:
January Numbers Are In & They’re Good
The Numbers For Home Sales Trends In January Of 2016 Paint A Picture Of A Solid Market That’s Steadily Improving
Most analysts have been waiting with bated breath for the January numbers to come in concerning real estate trends. The fact is that in December, as reported in these pages, there were some influences that lengthened some closings and pushed them from November to December. There are probably some that were pushed from December to January. At any rate, there was some shuffling around of sales and closings that made the “numbers crunching” rather murkey. All in all, most market watchers have been and ramained positive. But those murky areas in the numbers did cause some to be concerned that we could see a slow down in January.
Well, there needn’t have been concern in that area. The numbers are in for January and they are good. The economy in general is having a positive influence on everything here. The fact that 151,000 jobs were added last month is very supportive of demand, and indicates the 3% economic growth that most analysts have been predicting for 2016 will most probably be in the ball park. Other factors, too, contribute to what looks like a very healthy market report.
For a detailed look at all this, we’d like to direct your attention to a very recent article by Jonathan Smoke of Realtor.com News. He runs it all down there. Take a look at that, and we’ll continue our discussion after the break.
Net-net, pent-up demand appears stronger than any weakness caused by the financial markets. And the lower rates are encouraging would-be buyers to act sooner rather than later. With this strong start, 2016 should indeed see growth, but the biggest constraint will be the tight supply.
Starting 2016 With A Healthy Home Sales Market
So, it appears we’re beginning 2016 with a fairly healthy home sales market. Most analysts were expecting a decline in home sales activity in January, but we found instead there had been an increase in activity of 0.4%. That’s not huge, but it happens at an unexpected time. All things considered, it appears that we have increasing demand in January. That’s unusual. Most Realtors and market analysts don’t expect to see that. traditionally, until March or April.
Bottom line here: Increased activity maintains pressure upwards on prices as inventories remain low. If you’re a potential buyer in 2016, you might want to get moving now instead of wating for the traditional “Spring / Summer Selling Season”. We could see prices rising in the summer, so now may be a better time to buy if you’re able. Additionally, mortgage rates are incredibly low right now, and that can’t last forever. There are multiple forces and incators telling buyers to move now if they can.
Real Estate News