I've talked to a number of potential home buyers over the last few months who said that they were sitting back, waiting for home prices to drop even lower before making any offers. While I can appreciate that strategy, one thing many must realize is that there will be no official announcement that the market has bottomed-out. Figuring this out is the job of economists, financial and real-estate professionals.
And while there has been no official announcement, the fact that home prices and sales increased in May over April is a huge sign that should spur you into action if you are a buyer.
Prices are still down from a year ago, but the Standard&Poor's/Case-Schiller Home Index report shows that it was the first month-over-month improvement in more than a year. In the Chicago area, prices edged up 1.1 percent from April. Nationally, the average was .5 percent.
Another sign prices are increasing
Just last week the Illinois Association of Realtors issued a report that showed even greater price improvement. The median price of homes sold in the Chicago area rose 5 percent in June from May. That followed a 4.2 percent increase in May over April.
So, if you are a buyer waiting to look at homes again, the time to act is now, especially for investors and first-time buyers.
As for sellers, if you thought you had to wait until next spring to list your home, there is a window open now that you should take advantage of.
As always, I urge you to contact me to find out more specific information about your area, as the picture may be even better where you live than for the overall Chicago area.
So remember, the opportunity to buy has never been better. Act now to take advantage of the situation!