Reuters Article. Housing Market has Turned

Click on the title above to read the article.
This article mentions that the rates of sales have increased because of the amount of foreclosed homes being sold at attractively low prices. The National Association of Realtors say that the inventory of homes on the market fell 11.7% in December translating into a 9 month backlog (not so bad because in a healthy market we see a 6month backlog). In New Canaan, we currently have 211 homes on the market. Although the article speaks to a national audience, there are some similarities between national averages and our New Canaan market. Well before the statistics and graphs publish sales data and average prices, I see what is happening first through the level of buyer interest generated. Phone calls start, emails begin with questions, showings result and then negotiations begin. While we are not yet seeing an abundance of sales, we are seeing increased activity and a tremendous amount of interest. For example, I see several properties bindering extremely quickly because the asking price has been reduced substantially or they come on the market at a very attractive asking price. These homes are generating a multitude of showings initially and then offering bids, sometimes even multiple offers resulting in a sales price over the asking price. The bottom line is "for those who have to sell, price is the name of the game". You definately can sell, but it has to make sense for each and every homeowner because every body has a different story and a different level of motivation. Also, mortgage rates are at 30 year historic lows, allowing so much more buying power.