We recently made national news, as Ann Arbor ranked third on Kiplinger’s list of cities with the highest rising home prices. This has been wonderful news for Ann Arbor and Washtenaw County. Even our neighbors to the north in Livingston County have seen strong signs of market stabilization. Is this a trend for southeast Michigan, or are we seeing a national shift in a significant market recovery?
According to Lawrence Yun, NAR chief economist, these are early signs of what may be a nationally sustained recovery. "The pattern of home sales in recent months demonstrates a market in recovery," he said. "Record low mortgage interest rates, job growth and bargain home prices are giving more consumers the confidence they need to enter the market."
We are already seeing regional increases across the board, but have had the largest increase in the Northeast by 10.7 percent for the month of December. In the Midwest we are rising by 8.3 percent. The South and west continue to rise 2.9 and 2.6 percent respectively.
NAR President Moe Viessi, said more home buyers are expected to take advantage of favorable market conditions this year. "The American dream of homeownership is alive and well. We have a large pent-up demand, and household formation is likely to return to normal as the job market steadily improves," he said. "More buyers coming into the market mean additional benefits for the overall economy. When people buy homes, they stimulate a lot of related goods and services."
This is prime time to contact your Realtor and begin your home search.