I was inspired to blog today after reading my hotel copy of USA Today. I usually catch my news in small doses these days as the gluttony of bad economic news and discouraging headlines has been too much to take. Today however I was riveted to the newspaper because of three headlines.
“Areas of Economy Swelling with Jobs” was the first one that caught my eye on the front page. Hallelujah! How exciting to hear that there are sectors of our economy and geographic areas that are seeing growth. The areas cited in the article were health care, government, education, energy and mining. I guess this doesn’t come as a surprise given that these are areas of focus for the new administration in Washington. Many people that have recently lost their jobs will be turning to these industries, hoping that their skills will transition, or that they can attain new skills without too much downtime.
“Stocks Score Huge Rally on Hopes that Worst if Over” was the second attention grabber. This news has many people thinking that stocks might finally be on the mend. Monday’s rally was significant in that on some levels it doesn’t appear to be a blip. The rally had breadth in that all 30 stocks in the Dow saw increases, and as did all but 4 of the S & P 500. The rally seems to have some sticking power too – the best 2-week rally since the bear market took hold. And all 10 industrial sectors of the S & P 500 saw gains, indicating that industries are healing. This is all great news for people who have been seeing their retirement, college or down-payment funds take a beating. Hopefully this means there is public confidence in the government’s latest plan to “ungum the pipes”.
And finally, “Home Sales Rose a Sweet 5.1% in Feb.” This is the best news for homeowners trying to sell, as well as buyers who are dipping their toes back in the market after waiting out the bottom. Overall sales volume rose, meaning buyers are getting off the fence to the cheers of anxious home sellers. And prices fell sharply in many major markets, to the delight of buyers hoping to snap up a deal and enter the market in what will surely prove to be the best time to buy a home decades. Downward pressure on prices combined with the lowest interest rates I have ever seen in my own adult life – average interest rates for 30-year fixed conventional loans are at 4.89% - make home buying now a “no brainer” investment decision.
So again I ask the question – why are you still on the fence when you should be in your new yard? Is it because you have a house to sell that isn’t moving? I’ll write again shortly about the most important things a homeowner can do to position their home to sell. If you don’t have a home to sell then it is just downright ridiculous to think that these aren’t the first signs of stabilizing home prices. And even if we haven’t hit bottom yet, we are surely getting close. If you think you will hold on to the property for 2 years or more, then this is the time to be powerful, be BOLD! Go forth and buy!
If you appreciate this information and would like more, please let me know by contacting me at firstname.lastname@example.org. I am the Relocation Director here at Colorado Landmark. I am NOT a licensed real estate professional and I won't try to sell you anything. As the Relocation Director it is my job to assist people moving in and out of the Boulder/Longmont/Broomfield area in any way that I can. I stay abreast of the current trends and statistics and can help you dig up information, analyze your current situation, and make decisions about where you want to go.