Real Estate: Sales Increasing. Prices — Not Yet.

Facebooktwitterredditpinterestlinkedinmailby feather

By our friends at Keeping Current Matters.

While many experts believe home sales will increase in 2012,  it will still take time for prices to begin to appreciate. Pricing is about supply and demand. Though demand is increasing, there is still a large supply of homes for sale in many markets and the National Mortgage Settlement will probably mean over a million distressed properties (foreclosures and short sales) will enter the market this year. Two major surveys spoke to this point in the past week.

The Home Price Expectation Survey asked 104 leading industry experts where they thought prices would be at the end of 2012. The average of those opinions showed that the experts believe prices will depreciation by about one percent (.72%).

The Urban Land Institute released results from their survey also. In their report, 38 leading real estate economists/analysts, representing major real estate investment and research firms, felt that prices would remain flat throughout the year.

Demand will increase dramatically this year. However, it won’t drive prices upward because of the supply of inventory for sale in most markets.

Categories: Home Buying, Home Selling, Real Estate News

Leave a Reply

Your email address will not be published. Required fields are marked *






Rates and fees are subject to adjustments based on your credit score and the loan-to-value ratio. Rates and fees are also subject to change without notice. Other rates and loan programs are available.
All applications are subject to current underwriting guidelines and credit approval. EHL NMLS#280412

  • Heritage Title Services, Inc.
  • The Realty Alliance
  • Wisconsin Mortgage Corporation
  • Leading Real Estate Companies of the World
  • Luxury Portfolio International
  • Shorewest Financial Associates LLC
  • My Dwelling Metro Milwaukee
  • HSA Home Warranty - Because Service Matters