The Tempe, AZ home sales numbers for October show that there continues to be no change in the supply and demand factors within the housing market. In Tempe we are still bouncing along the bottom of a somewhat stagnant housing market. The $64,000 dollar question is: When will the Tempe real estate market turn?

In Tempe, in order to help the housing market, availability of credit is the single most important factor, especially for first-time home buyers. As soon as the lending institutions “lighten up” and send some favorable signals from their underwriters, we will see an increase in demand on the housing market and those great deals that you see on the real estate market right now will become scarce.

A secondary factor for a change in the housing market is the number of Tempe’s foreclosures. If the new administration can stem the tide of foreclosures, the inventory on the real estate market will decrease, propelling investors and home buyers who have been sitting on the fence, to start writing realistic offers.

To those Tempe residents wondering about the housing market, I have asked all my lenders to keep me posted if either of these two things happens–and you will be the first to know when housing market circumstances change if you continue to read my newsletters.

We expect to see a seasonal jump in Tempe after the holidays in the Real Estate market. Together with the financial climate, it will be seen as a bounce back. By then the smart money will already be in the game and in the housing market. For those of you who choose to wait till the market is prime, you may be playing catch up … remember the days of multiple offers?!

Waiting for the Housing Market Before You Sell?

If you are waiting for the recovery before you put your home on the housing market and you are wanting to move up (buy a bigger more expensive home) … DON’T! If your home is currently worth $300,000 with the current status of the housing market, you might be waiting for it to get back to $360,000. Unless you are upside down on a loan, please don’t wait. That $500,000 home you have been looking at will then be at $600,000 thus costing you $40,000 more after you sell your home. Buy now and you won’t have to compete with other buyers and you will have a seller more willing to make concessions.

Posted on Monday, December 1st, 2008 at 1:58 pm and is filed under Housing Market. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.