Home prices and home sales have been rising over the past few years, pointing to a recovery in the housing market, but I RealtyTrac states that what we are seeing may not be a true recovery but instead a mirage created by investors—a dangerous mirage that could lead to trouble in the years to come."
The report states that the rise in buying is mainly due to the fact that investors are pushing the market with cash purchases accounts for nearly half of the home sales across the nation in September. So I wasn’t so sure that would be the case in my area so after doing my own research on servera trusted sites and talked with some very knowledgeable people, I feel the “Investor Theory” is just a nythical monster in so far away land of no return! At least in my region it is not!
So far this year in Baltimore Metro, DC Metro and Northern Virginia, cash sales have accounted for 22.5, 17.6, and 11.9 percent of sales, respectively. The peak year for cash purchases was 2011 for each region, but even then we weren't seeing anywhere near the 50% levels reported in other housing markets.
No, the price appreciation in the DMV appears to be the product of old fashioned low-supply-high-demand dynamics (coupled with low interest rates and a strong job market).
No “unsustainable housing bubble" for us! How’s your area doing?
Not sure then check out my website or call me for a CMA of your home! (http://homesbydebra.kwrealty.com
) or call me @ 540 287-8750
If you know of anyone in the market to buy or sell a home, please pass along my contact information to them. I look forward to assisting you, your friend, and family members with all real estate related needs.
Debra Samuels Real Estate Consultant
Keller Williams of Fredericksburg, VA