Exciting news for those with Palm Springs homes for sale – The Wall Street Journal reports that property prices are rising at the fastest rate since 2006. Better yet—some real estate sellers are experiencing double-digit gains.
What’s exciting for those who are interested in selling anything from equestrian properties and retirement homes in La Quinta, to beach condos and downtown lofts, is that buyers are returning to a marketplace where property is in short supply. And we all know what happens when demand rises.
According to the Standard & Poor’s/Case-Shiller index, which tracks home prices in 20 major metropolitan cities, in February of this year alone, prices rose 9.3% as compared to February 2012. Meanwhile, mortgage-interest rates hovered near record lows, and all 20 areas experienced year-over-year gains for the second consecutive month, which hasn’t happened since the 2005 crash.
The real-estate market’s rebound appears poised to continue for now. Even though the supply of homes for sale fell 16.8%, the sales of previously owned homes rose 10.3% from March 2012. Across the board, supplies are dwindling as foreclosures are slowing down, and many homeowners are either unable to sell due to aftereffects of the housing crash. Yet the economy has seen a boost in employment, while rising rents and falling mortgage rates make ownership more appealing. The Federal Reserve’s lower interest rates also contribute to the rebound of the real estate market, which reduces yields on a broader range of assets. Lower mortgage rates are creating urgency for traditional buyers, making those who take out mortgages less effected by recent price increases. With mortgage rates so low, owning a house is more affordable than it’s been in decades—investors of all sizes are buying homes, sometimes with cash, and often times converting them into rentals.
If you’re ready to seize the moment and view some Palm Springs homes for sale, equestrian properties or retirement homes in La Quinta, click here.
image: blog.metrobrokers.com
