Home Sales the Best in Five Years

home value salesAccording to the National Association of Realtors, 2012 home sales have improved drastically from 2011 numbers and are at their highest level since 2007.
Last year’s home sales totaled 4.65 million, a 9 percent increase from 2011, and realtors are predicting that home sales will continue to increase in 2013, most likely topping five million.
Home sales are rising due to low mortgage rates, a rise in employment and a home price rebound. Buyers who have been waiting for the general economy to finally improve are now beginning their new home search, which is also leading to higher rates of sales.
An increased demand for new homes, plus a drop in foreclosures, is also affecting home inventory. As of December, there were 1.82 million homes on the market, which is the lowest supply since January 2001.
In the Chicago area, there are currently 11,662 homes for sale. Chicago was recently ranked as the best real estate market for buyers, according to Zillow. Part of this ranking was derived from the fact that homes in Chicago stay on the market longer than anyother metro areas. With sales levels increasing, we should soon see a drop in both the length of time a home stays on the market and a drop in the inventory of homes available for sale. New home builders will then start launching new projects in order to keep up with buyer demand.