For all of you still reeling from the tough San Antonio Real Estate Market (SARE) in 2010, now is the time to get up, dust yourself off, and look forward to a more promising 2010.
However, don’t expect the market to accelerate quickly, as regrouping from last year’s national recession will take time. However, many real estate professionals are quite optimistic that 2010 will be a better year for anyone involved in the SARE industry.
The Board of Real Estate Agents of San Antonio (SA), in fact, has projected not only an increase in the number of home sales, but also an appreciation of the price of SaARE. In other words, for everyone who has managed to survive last year’s coup, it will be a much better year ahead.
There are some sticking points in the SARE market, don’t hesitate. For example, home builders still struggle to obtain financing to complete projects. And on the other side of the loan process, banks continue to reject home loans from many potential homeowners. Short sales and foreclosures have undoubtedly had a negative impact on the credit industry over the past year, so it makes sense that lending will continue to be pretty tight over the next year.
1. However, the SARE market for homes priced below $ 200,000 will surely experience the biggest jump, both in sales and real estate appreciation. There is currently a 5.9-month supply of homes priced below $ 200,000 on the market; a six-month inventory is generally considered a balanced market.
2. Combine that with low interest rates and the extension of the federal home buyer tax credit, and there seem to be a lot of buyers interested in entering the housing market in 2010.
However, homes priced over $ 1 million are still struggling and are likely to continue struggling for the next year. In fact, this market is now flooded with a 61-month-old home inventory.
3. Many analysts see the rebound in San Antonio’s housing market continuing, as demand for homes tends to coincide with consumer confidence, which has continued to improve over the past few months.
4. SA is also expected to experience an increase in its housing market as job losses continue to decline. As San Antonio begins creating new jobs next year, San Antonio’s real estate demand will certainly follow suit. San Antonio recently announced the addition of thousands of new jobs in the military and private sectors, which means there will be an influx of workers looking for housing.
5. A recent study by Metrostudy found that builders in San Antonio are expected to build about 8,000 homes this year, an increase of nearly 12 percent from 2008. Sales incentives and discounts offered by builders are sure to stimulate new home sales growth throughout San Antonio, and will surely help rebuild San Antonio’s bruised real estate market.
