It is definitely a seller's market. The three big sellers: banks/Short Sales, banks/REO, & Traditional Sales (in that order lately overall).
The banks as the "Seller" have control over the final purchase price. In some cases, intentional overpricing by investors is occuring as a practice (Fannie Mae, and now Freddie Mac is following suit). This practice, combined with low inventory and a surplus of buyers have prices on the rise. The trickle down effect has traditional sellers doing a little recovery victory dance as well!
Speaking of recovery, some potential short sale patients, as a result of seeing increasing prices, are moving from ER to the waiting room and may soon be eligible for a traditional sale.
But, be not dismayed buyers. This market is leaving no one behind - interest rates are at their lowest and home prices are half of what they were seven years ago. So it's also STILL a great time to buy!
Keisha Mathews, REALTORÂ®
CDPEÂ®, HRCÂ®, HAFAÂ® Certified
"SAR Masters Club Member 2012"
Mathews & Co. Realty Group
@ Century 21 Landmark Network
(916) 370-1803 cell