The November housing number’s report was not a big surprise.   The average sales price dropped 13 percent, year over year, to a low of $181,000.  The inventories of unsold homes remained at a stubborn high of an 11.2 months and sales of new homes are at low not seen last since 1997.  Interest rates are at their lowest level in decades.  Today, lender’s quoted 30 year fixed rates at 4.75 percent, which is dramatically lower than they were one year ago.  Rates last year hovered above 6 percent.

Do The Numbers Signal a Bottom in Housing??

Bullish Signs Abound:  With prices and interest rates at their lowest level in years, home affordability is well within the reach of many people that were previously priced out of the market.  In addition, the inventory glut and builder incentives make finding that special dream home a whole lot easier.

Why Are People Waiting to Buy?   Washington needs a firm plan with regard to buyer incentives and further downward pressure on rates, before buyer’s will jump in, in meaningful numbers.    With a clear government action, buyer’s and investor’s will begin bottom fishing, and many of those will make the deal of a lifetime.

Thank you for visiting Why 6 Percent and Season Greetings to all.   Call 1-800-381-9496 to find out more about our MLS listing packages for owners.  We can help you reach millions of home shoppers in one easy step, without listing commissions.