And it is coming from the inventory room.
We have seen steadily falling available inventory in Tucson since the beginning of the year. When we fell below 6,000 available properties we went below the 6 months of available inventory, considered to be a “normal” market inventory.
In April our Active Listing inventory fell to 3,770. That is actually about a 4 month inventory given our current market conditions.
Active Listings are Falling All Across The Country
We are hearing from agents in real estate markets all across the country that there inventories are way down. They are competing with multiple offers on properties no matter which side of the transaction they are representing.
Buyers still haven’t gotten the message. They think it is a buyers market. But after loosing offers on up to 10 homes in some cases the reality of the market is beginning to sink in. The national media is always about 6 month behind reality and today is no different.
The market bottomed in the fourth quarter of 2011. The media still haven’t gotten that message. Low inventories, multiple offers, high sale prices, these are all indicators of the market turning.
If you were waiting for the bottom, well, you missed it. That ship, so to speak, has sailed.
I agree! Most people are still waiting for the real estate market to crash and be at the lowest it can be before buying properties. I must say that’s not a good move.
Dave, it’s been quite a while since I’ve been back at your excellent website. The last time I was here, I was bearish on real estate. No longer. I agree that we are at a turning point in real estate. While I’m not yet bullish on Tucson – I’d call it more ‘stabilized’ than bullish – I see bullish real estate opportunities in many parts of the country. Translation: Tucson looks like it’s bottomed and will probably remain flattish for a bit.
There are potential bumps in the road that could negatively impact real estate in the near term, but it’s looking much better today than any time in the last three years.
iflyjetzz,
Good to hear from you. I like the direction the market is going on at least.
Have a great weekend.
Dave