We’ve been seeing homes come on and off the market in our neighborhood for over a decade now and there is a big difference this year. Most of the homes that go off the market just, well, go off the market. No sold sign or anything. Those that are still on the market, with one exception ALL have “new price” signs up and some have for over a month, yet not a one has sold.
One of them is an older lady who’s husband has gone to a nursing home.
Meanwhile, as late as last year the homes in my neighborhood would see only a couple of weeks go by before the sold sign came up. Now a LOT of homes are just rotting away with the “new price” sign.
Oh, and one new development has a “huge price reduction” banner up.
This is a “near Seattle” suburb where we have a “strong job market”.
We’re seeing lots of homes just go off the market. Like I stated earlier, you’d have to be foolish to *want* to sell, if your not being forced to sell, if you happen to be in a buyers market, where buyers are expecting a great deal. lol
“Reduced”
“New lower price”
Those signs adorn entire neighborhoods in Sacramento, California.
I forgot to add, the worst thing for homeowners trying to sell their homes in California, is the glut of inventory. New home builders are able to slash their prices and completely undercut existing owners. The paltry few buyers out there are buying new homes because the home builders are simply undercutting any prices they are seeing on existing homes, so the existing homes are just sitting and rotting. People can’t sell them as long as Hovnanian or KB are charging $40,000 less for the same or similar home and throwing in plasma TVs and granite counter-tops in to sweeten the deal.
So what is your guess for the top for inventory, in months? I won’t be surprised if, during the worst of it, the US peaks out between 20-24 months of inventory.