We are experiencing low inventory here in Vegas too. The decrease is a direct result from AB284 that has caused banks to stop foreclosing. Since it was passed in Oct of 2011, REO inventory has decreased dramatically. The bill is up for reconsideration (possibly adding some amendments) when the Legislature meets again in Feb 2013. It will be interesting to see the new affects on the market once additional inventory is reintroduced to the market here. I for one think the market will soften slightly but not free fall like it was before. Right now with inventory being as low as it is buyers are in bidding wars often times competing with more than a dozen offers. With that being said people are paying above appraisal value and homes are appreciating again at a temporary rate that is way higher than it should be. A new wave of inventory would return the Vegas market back healthy growth with perhaps 2 or 3 offers on each property not a dozen.
Please tell me what is driving the major decrease in the inventory in the Oahu market? How long do you predict the shortage will continue? Also, is this on all the islands or Oahu specifically? Thanks in advance for your time.
The Adams Team at
Rothwell Gornt Companies