Contributed by Ingrid Carlos, Manager, Coldwell Banker Residential Real Estate Hollywood office
Buffet CEO on the Real Estate Recovery Summary:
The fact is that although housing has been under a lot of stress there are emerging signs of recovery. What are the tipping points?
Rents have finally exceeded the cost of home ownership; this is going to cause people to re-think their choice of Renting vs. Buying.
Overall in the last couple of months we have begun to see an increase in home sales activity.
Inventory overall is off about one-third from its peak.
As we move more into a balanced equilibrium we may start to get price stabilization and see some positive price growth towards the second half of the year. In Miami there was 10 years of inventory about 2 years ago and now there is not enough. The inventory will come now that homeowners start to think that they can sell their home without giving up too much of a price forgiveness.
We are seeing price stabilization in markets across the country but Miami is used as an example as the most outrageous and most positive.