There’s a bit of optimism on the statewide housing outlook for next year. The California Association of Realtors predicts home sales and the median price will improve slightly in 2012. That is certainly good news, and bodes well for the Tri-Valley real estate market.
The California Housing Market Forecast for 2012 says there will be a slight 1 percent increase to 496,200 units, following essentially flat sales of 491,100 homes this year compared to the 491,500 homes sold in 2010.
The California median home price is expected to increase 1.7 percent in 2012 to $296,000 in 2012, according to the forecast. Following a double-digit increase in the median price in 2010, the median home price will decrease a projected 4 percent in 2011 to $291,000.
“Looking ahead, the fundamentals of the housing market – such as low mortgage rates, high housing affordability, and favorable home prices – are expected to continue, but at this point, a strong housing recovery will depend on consumer confidence, job creation, and the availability and cost of home loans,” C.A.R. President Beth L. Peerce said.
The state Realtors group also suggests sellers who were holding off in 2011 could play a key role in 2012 if they step up and sell, adding to the mix of inventory.
So while we’re still not in the “healthy” range, any improvement is a good sign. For buyers in the East Bay, 2012 will be another great opportunity to find a perfect home at a great price. If buying – or selling – is on your to-do list, feel free to give me a call today.