Rising prices and Tight Supply Complicate House Hunting
A recent article in the Boston Globe spoke about the rising prices and tight supply of the current real estate market. In effect this has caused a competitive hunt for buyers, and much frustration. These scenarios are especially apparent in high demand areas, with little inventories.
"These factors have already helped push median sales prices above the 2005 peak in more than 60 Massachusetts communities, with the greatest appreciation in desirable Boston neighborhoods and close-in cities and towns such as Arlington, Brookline, Cambridge, and Newton, according to Warren Group, a Boston firm that tracks real estate." (Jay Fitzgerald, The Boston Globe)
The article also points out that this competitive buyers market will continue, despite the slight rise in average 30-year fixed mortgage interest rates. The higher interest rate might actually entice buyers into the market rather than wait, for fear of an even further increase later down the road.
"As a result of the supply-and-demand imbalance, most signs suggest the competition among buyers will only intensify this fall." (Jay Fitzgerald, The Boston Globe)
The tight housing supply and forecast for the upcoming months seems to predict a continued competitive buyers market, but also a great opportunity for home owners to sell their homes and potentially get the highest offers.
