Columbia SC home prices have edged up for the third month in a row, albeit ever so slightly.
According to the Federal Housing Finance Agency’s (FHFA’s) monthly House Price Index (HPI), home prices rose 0.8 percent between March and April, on a seasonally adjusted basis. Previously, the FHFA had reported a 1.8 percent price increase in March, which has been revised to a 1.6 percent increase. Over the last year the Agency reports that home prices have risen 3.0 percent.
The FHFA monthly index is calculated using purchase prices of houses backing mortgages that have been sold to or guaranteed by Fannie Mae or Freddie Mac.
Columbia SC Home Prices, Sales and Inventory
The U.S. index is down 17.6 percent from its April 2007 peak and is now roughly the same as the April 2004 index level. The National Association of Realtors reported recently that in May, home prices rose, and sales slowed slightly.
Inventory shortages in certain areas have been developing since the beginning of the year. The slight pullback in monthly home sales is more likely due to supply constraints rather than softening demand. Even with May’s decline, existing home sales have recorded 11 consecutive months of gains over the same month a year earlier. The normal seasonal upturn in inventory did not occur this spring as it has typically in years past.
Meanwhile, banks are looking to alternatives to foreclosures that continue to punish home values, as seen in the reduced number of seizures. According to RealtyTrac, foreclosures fell 18 percent between May 2011 and May 2012.
The recovery continues despite excessively tight credit conditions and higher down-payment requirements, which are negating the impact of record high affordability conditions.
If you’d like to discuss Columbia SC home prices, we’d like to invite you to contact us for a no obligation consultation into the current market conditions and how they may benefit you if you’re looking to buy a home in today’s Columbia SC housing market.
There’s never been a better time for buying a Columbia SC home than right now. Mortgage rates hit a new record low almost on a weekly basis of late, and home prices may have already bottomed and be starting on their way back up. Waiting much longer could mean higher Columbia SC home prices, and interest rates could stop dropping and head back in the northerly direction.
Use Caution When Buying a Columbia SC Home
If your current employment is in jeopardy, be cautious about signing on the dotted line for a mortgage. Once you sign, you’re responsible, no matter what happens. If you buy a home and commit to a mortgage, then lose your job, that’s how people end up in short sales or foreclosures.
Before starting to look for a Columbia SC home, be realistic and patient about what’s available. Inventory of homes is down, and finding that perfect home to fit your needs may take some time.
Also before you begin your home search, use an online calculator to determine your price range for purchasing a house. The debt to income calculator will take your current income and your debts and then calculate the payment that you can afford. You will then have an idea of what price you can afford to pay for a home so you don’t waste your time looking at homes you cannot afford.
Before choosing a neighborhood to settle down in, check the national data base for sex offenders living in the area you’re considering. All states provide public sex offender information, but that doesn’t mean that a seller or even a real estate agent is going to tell you if an offender lives in the neighborhood. Research it yourself for peace of mind.
When making an offer on the Columbia SC home you’re interested in, ask the seller about any financial incentives they may be willing to offer, like helping with closing costs. Some sellers may not want to give you a price break on the home if you ask for financial perks, so don’t be greedy. If you need help with the closing costs or down payment, don’t try to low-ball your offer price.
Buying a Columbia SC home can be a daunting experience, but if you do your research and use some common sense, you’ll find the right home at the right price.
Columbia SC real estate news is looking very positive for a change. Several housing 
price indexes were released that show things swinging upward in multiple categories.
The Commerce Department and HUD reported new home sales rose 3.3 percent month-over-month in April to a seasonally adjusted annual rate of 343,000, up from 332,000 in March. On a yearly basis, new home sales rose 9.9 percent.
Columbia SC Real Estate Inventory Down
And, the good news did not end there. The months’ supply of inventory fell to 5.1, and while sales were down in the South, they were up in Northeast, Midwest, and West.
The National Association of Realtor’s existing home sales report showed the sale of existing homes rose 3.4 percent on a monthly basis and 10 percent year-over-year.
Columbia SC real estate news is certainly starting to regain some semblance of normality, even though the market still has a long way to go to catch up to the housing boom of 2005.
As median Columbia SC home prices creep higher, that is bound to re-ignite the big question for scores of buyers: Is this the right time to buy?
As prices begin to firm and that information filters down to buyers, the “fence-sitters” will be enticed to make offers as well, especially with mortgage rates hovering near record lows.
A large overhang of homes in foreclosure or in danger of foreclosure are still sandbagging some markets. Nationwide, NAR reported foreclosures and short sales (homes sold for less than what is owed on the owner’s mortgage) comprised 28 percent of the April sales (17 percent were foreclosures and 11 percent were short sales). But that was down from 29 percent in March and 37 percent in April 2011, where analysts also contend that a diminishing share of foreclosed property sales is helping home values.
Columbia SC home prices rose for the first time in 10 months, according to the 
S&P/Case Shiller composite index released recently, an encouraging sign the battered housing sector is starting to stabilize.
It was the first time home prices have gained since April 2011. That gain was itself an anomaly in a string of declines stretching back to May 2010.
Columbia SC Home Prices Likely to Remain Weak
Yale economics professor Robert Shiller, the co-creator of the Standard & Poor’s/Case-Shiller home price index, believes the Columbia SC housing market is likely to remain weak and may take a generation or more to rebound.
Shiller, the co-creator of the Standard & Poor’s/Case-Shiller home price index, told Reuters Insider a weak labor market, high gas prices and a general sense of unease among consumers was outweighing low mortgage rates and would likely keep a lid on home prices for the foreseeable future.
David Blitzer, chairman of the index committee at Standard & Poor’s, cautioned that while there were some pieces of good news in the report, some areas saw home prices still continuing their decline.
The S&P/Case Shiller composite index of 20 metropolitan areas gained 0.2 percent in February on a seasonally adjusted basis, matching economists’ forecasts. Seven of the cities saw home prices drop on a seasonally adjusted basis, while home prices in two cities were unchanged. On an unadjusted basis, 16 of the areas slumped further.
Home prices in the 20 cities fell 3.5 percent year over year, moderating from the previous month’s decline of 3.8 percent.
“Looking forward, we think homes sales will continue to trend upward, which ultimately will result in a slower rate of home value depreciation,” said Stan Humphries, chief economist at Zillow. “But any housing recovery will be dependent on job growth. Continued progress in this area is essential to keeping the housing recovery, such as it is, on track.”
Thinking of selling your Columbia SC home? The first big question you must answer is, what is your Columbia SC home worth? The best way to determine the current value of your home is by having a comparitive market analysis (CMA) done on your home…
Pricing your Columbia SC home properly before putting that “for sale” sign in the yard is critical to your success in selling your home.
Contact us for more information on getting a CMA done for your home.