The last couple of years have been rather tough on the housing industry. Throughout the nation, declining real estate values, foreclosures, and short sales has been the subject of real estate news. Home builders have especially been seeking a glimmer of hope, and in some markets this may just be a reality.
May 2009 housing figures have shown significant improvements in several housing markets across the country. Even markets that have experienced the highest value declines and foreclosure rates are beginning to show signs of life.
In Louisville, Kentucky, the median price of homes increase 1.5%, the first increase since January of 2008. Causing much optimism for many real estate professionals and home builders in the area.
In Naples, Florida, home sales increased 36% over last year’s figures. Pending home sales leaped an unbelievable 101% in comparison to May of 2008. Florida’s housing market is one which has been hit hardest during the housing market meltdown. Much of the areas problem lie with bad mortgage loans and bank failures. The area has also show a significant decline in median home prices, from $314,000 a year ago to $174,000 this year. Which is likely a major factor accounting for the recent activity.
Birmingham, Alabama experienced an 8% increase in homes sales in May over April. 29% of these sales were foreclosures, a good sign as 38% of home sales in April were foreclosures. Year over year, housing prices in the Birmingham area are down 14%.
Buffalo, New York, for the first time in over a year, has shown an increase of sales at 3.3%. In May, home sales increased 21% over April’s figures. Pending home sales are down 5.9% year over year, which has tempered expectations somewhat.
This new is being perceived by many as good new that effects the entire housing industry coast-to-coast. Home builders have experienced declining inventories and many companies have started new projects, even though home builder’s confidence declined in recent days.
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