Behind The Mic With Joe Mathieu: End Of The Housing Boom? Not In Boston
BOSTON (CBS) – I thought maybe I had fallen asleep for a year or two when I read this new housing survey, because last time I checked the housing market was booming.
But this report from the online real estate brokerage Redfin shows two troubling trends for homeowners and they collide in a way that’s making us pay attention.
Here’s what they found:
The number of real estate agents telling clients that now is a good time to sell a home fell almost 15 percentage points in the last quarter. At the same time, the number of agents who say it’s a good time to buy a home went up about ten percentage points.
And even more worrying, more agents say appraisals are falling short of the contract purchase price.
Now these are troubling headlines for homeowners. But of course they’re good for buyers, especially first-timers. And these trends are typical toward the end of a housing recovery.
But let’s remember these are national numbers, as reported by USA Today, and they make us feel lucky to live in a place like Boston.
That’s because the most recent data we have show sales and prices rising straight through this year.
The one real challenge facing our local housing market is supply. There are not enough homes for sale to meet demand and that has sent prices higher, sometimes even causing bidding wars.
But a recent report from the Boston Foundation predicts that Baby Boomers, who have been sitting on the sidelines, waiting for the best conditions to sell their homes, will soon put their houses on the market on the belief that prices have peaked.
That would help to satisfy demand and help the market keep growing even as housing in other areas cools off.
Follow Joe on Twitter @joemathieuwbz