Early Signs Show Improving Conditions

During the past several years of the housing boom you could set your watch by when the Spring Selling Season was upon us. The market instinctively began to move upward in late March and early April. This was evidenced by the highest number of recorded sales between May through August. The number of houses that were sold peaked during these months and many sellers realized multiple offers and welcomed prices in excess of their listing price.

Then came 2006. The market peaked in March and went into a tailspin through the end of the year. The Spring Selling Season never materialized. Even the Post Office began to feel the pain. Gone were the postcards announcing “Sold in 7 days�, “Received Multiple Offers�, “Sold over asking Price�. Nobody expected the sudden shift from a seller’s market that began to materialize almost overnight. Home buyers (the ones that were out there) began to think that they had regained the upper hand, while Seller’s refused to concede.

Things appear to be improving. We have witnessed about a 17% increase in the number of homes sold in January and February respectively. Our analysis of empirical data based upon conversations with other agents, escrow officers and inquiries received, all seem to be positive and things are on the upswing.

Monthly Home Sales - Units

I don’t think that the Post Office is ready to begin hiring to handle the barrage of “Brag Cards� mailed by real estate agents. The initial signs do point toward a more optimistic outlook for 2007. Lets hope the seasonality peaks return this Spring!