- Wednesday, May 08, 2013
S&P/Case-Shiller keeps a composite of 20 metropolitan areas across the country and releases reports of housing price increases and decreases. The market was at an all time low in 2008, with rates decreasing close to 20 percent. In its April 30, 2013 report
, the numbers showed an increase to approximately 9 percent. This was the largest increase from year to year in the last seven years. From January to February, 2013, the market also increased by 1 percent. This was the largest month to month increase in seven years, although increases have been taking place from month to month for several months. This data suggests that this increase will likely continue.
According to Robert Shiller’s book Irrational Exuberance
, single family home prices usually go back to a base level price from 1890, with inflation factored in. As the market fluctuates the scales will tip in favor of buyers and sellers. With prices being low, buyers have had the advantage. But as home prices increase, sellers are going to increasingly find favor in the market. Buyers may want make any pending purchases now, before the scales tip even more in this direction.
Read about Case-Shiller here
and see a chart of recent Case-Shiller data here
. If you are purchasing a home, contact Brooks & Crowley LLP
and let an experienced attorney help guide you through the process.
Contributed by Laura Martin