I am happy to say, the housing market has been on a steady recovery, but there is one major obstacle that could potentially slow down its momentum: low inventory.
To best sum up our local Randolph real estate market and give you a better idea how considerably low the inventory is, I will list below the total of homes on the market this year compared to the past few years.
January 2014 – 58 Active Homes
January 2013 – 87 Active Homes
January 2012 – 129 Active Homes
January 2011 – 162 Active Homes
January 2010 – 158 Active Homes
(information supplied by GSMLS)
This becomes a supply and demand issue, with limited inventory we have seen many multiple offer situations and home prices continue to rise. The experts have been predicting a 3% appreciation a year in the next few years, which is sustainable and predictable and should get us to a healthier market as long as it does not start pricing buyers out of the market and fuel another bubble.
So my advice, if you’re a buyer, homes are still priced reasonably and with historically low interest rates there has never been a better time to buy.
If you are a seller, low inventory has sparked multiple offer situations which yield homeowners a higher sales price and buyers that are no longer sitting on the fence.
2014 is going to be a great year in real estate…