As we start a new year, national and regional trends for housing are very positive. Columbia SC housing, as well as housing throughout the entire 48 contiguous states were up in December.
Stick with us throughout 2013 for all the latest Columbia SC housing news. If you have a comment or question about any of our articles, we welcome you to leave your comments here.
Columbia SC housing, after 6 years of downward pricing and sales, is finally on a firm path to recovery.
Most economists agree that all the positive year-end trends from 2012 for the housing market will drift into 2013, becoming more entrenched as the economy picks up steam in the second half of the year.
Why Columbia SC Housing Looks Firm
For several years, investors armed with cash have been scooping up distressed and undervalued properties, especially at the market’s entry level. In 2012, that drove double-digit price spikes in many areas.
As Columbia SC housing prices rise and the economy improves, investor influence will wane. Investors buy undervalued homes, which are often vacant and in poor shape. They remodel them, and by renting or selling them, attract occupants. The neighborhood revitalizes, and prices begin to rise. A year or so of consistently rising prices instills buyers and sellers with confidence that the bottom has been reached and it’s time to jump in. As that sentiment catches on and spreads, the market transitions to include more traditional buyers, who pick up where investors left off.
Meanwhile, as the economy recovers and hiring increases, Columbia SC housing demand strengthens. High rental occupancy and rising rents are encouraging renters to move on to homeownership. Also, as home prices rise, owners who were underwater or nearly underwater — without enough equity in their homes to pay off the mortgage — will emerge from the sidelines and start selling and buying homes again.
As demand grows, where will the supply of homes come from? That could turn out to be a problem for buyers — one that leads to higher prices and more bidding wars. Many would-be sellers of existing homes have waited for prices to stabilize or improve — but most of them are also planning to move up or downsize after they sell their home. So it’s a wash in terms of net inventory. And although new-home building has increased, it’s still half the normal historical average.
We’ll keep you up to date on the state of Columbia SC housing as 2013 progresses. Meanwhile, if you have immediate questions you’d like answered about the current state of Columbia SC housing and prices, give us a call, or use our contact link below to touch base with us through our site. Either way, we’ll get back to you right away.
Freddie Mac’s Vice President and Chief Economist, Frank Nothaft, gives a preview of the 2013 U.S. Economic and Housing market outlook.
Stick with us in 2013 for all the latest Columbia SC housing news.
As always, if you have a comment or question about any of our articles, we welcome you to leave your comments here.
Answering the question, “What’s the real story behind U.S. housing?”, Economics Editor Michael McKee of “The Real Deal” looks at the real U.S. housing on Bloomberg Television’s “In the Loop.”
While some areas are improving more than others, overall, most economic indicators point to a confirmed increase in the Columbia SC housing market.
There’s been a lot of news coming out over the past few months about the Columbia SC housing revival, as well as the upward trends taking place nationally. But is the revival real, or are things like a reduced number of foreclosures and lower inventory of housing causing the numbers to be skewed?
Ali Velshi of CNN summarizes the housing revival in this report, along with some areas of concern for making sure the revival is real, and not just numbers that are out of focus with reality.
Bookmark our site and check back often. We’ll keep you abreast of the Columbia SC housing revival, and tell you when things are for real, and when you might look past the numbers.