A buyer said, "I felt like we were sort of at the bottom, "If the
market was still going down, I would have rented another year."
We started looking at existing homes last summer,
hoping to get a house. But the new-home market seemed like a better
deal, so they decided to compromise for now, and if the buyersÂ business
does well, they'll rent out there condo and buy a house down the road.
"We have extremely attractive interest rates, extremely attractive prices," they said.
"Buyers have come to their own conclusions that it is smart to buy
now," Frank Shamoo of LocalHotPads.com.
"The only trouble with that is scores of shrewd buyers have figured it
out all at the same time. Thus, there is tremendous competition."
Â "distressed inventory" of
foreclosures and short sales now account for 18 percent of the market,
down from 35 percent of the market in the spring of 2011.
"There is a palpable sense that we not only have reached bottom, but that we are starting to recover," he wrote.
CASH IS KING
That in some ways it's reminiscent of the
housing peak, but with a key difference: No longer do you see 100
percent, no-down-payment mortgages.
"Now, "cash is king."
Homes in the $300,000 to $500,000 price range are most in demand.
"If you have a house in that price range and it's standing, it's
going to get offers,"You have a lot of investors, and you
have a lot of first-time buyers. It makes sense. ... There's a lot of
cash that's looking for a place to go."
Most of our buyers at The Shamoo Team decided to quit being renters because they
didn't want to miss out on the low interest rates and the low prices.
The Shamoo Team