Plenty of Bright Spots in Housing, But Threats Remain

This author sites a few very strong positives for the national Real Estate market.

• Existing-home sales jumped more than 9 percent in 2012, the highest level in five years.
• New-home construction reached a 54-month high in December 2012
• The delinquency and foreclosure rate is at its lowest level in four years.
• A home remodeling index reached 55 in the first quarter of the 2012, the highest reading since 2004 (readings above 50 indicate a growth in remodeling activity).

This definitely applies to our local market.  However, I don't totally agree with the challenges outlined in the article. I am much more optimistic. For example, I don't agree inventories will remain constrained.  I feel as soon as homeowners realize there are many buyers for their home and that the value has increased they will want to sell.  There is always a natural need for people to grow and move up, this creates inventory!

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