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Why You Shouldn’t Write Off the Housing Market Just Yet

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  • Description

    FBN’s Gerri Willis on the signs the housing market is recovering.

  • Duration 3:06
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Well I couldn't blame you if you would completely written off the housing market after all it's been six years as the market was at its peak and since that time.

Prices have fallen nearly 35%.

Eight point two million homes have gone in to foreclosure collectively all of us we 0700 billion dollars more.

-- our homes or even worse.

It's been a single worst housing crisis ever even the depression didn't take down still many middle class households.

And still there's an overhang of unsold inventory sitting on -- balance sheets.

Some families squat on properties that they've long since stopped paying for waiting for the sheriff's knock on their door to evict them.

And yet.

Yet there are signs this market is mending true some cities in regions are still fighting declining prices but in other places.

Prices are firming even mending.

Denver Phoenix even Detroit.

Are posting small price gains.

Existing home sales in February were up 9% from the same month a year ago.

To be sure fully a quarter of the homes were bought it bought in February were purchased by investors.

Who can quibble with the details of who's buying when you know the purchases will eventually raise prices for everybody.

Demand is also spiking from international buyers the Chinese have become -- second biggest group of offshore real estate investors.

Because outsiders can see what Americans can't.

But the housing markets won't stay in the dumpster for ever and that buying low and selling high as a strategy for success in any market.

The -- in the market has been predicted by far more sophisticated housing analysts -- me but I am encouraged by what is going on in the jobs market.

This week's ADP hiring numbers show that what we've been waiting for a strong jobs report that reveals.

Eight payroll expansion beyond just the smallest of companies more and more midsized and large companies hiring.

The government's monthly rate and payroll expansion numbers are posted improvements for three straight months.

Look at the end of today it will have to be jobs that brings us out of this housing -- because the only thing any banker respects when it comes to handing out mortgages.

Is a steady and consistent paycheck.

I think we may -- be at the precipice of that recovery prices overall probably won't rise this year but they could next year or the year after that.

Look housing is too big and important -- market to write off for ever.

The number people who have made their fortunes from the industry are simply bought their primary home at inopportune time and hung on -- rising tide of prices to lift their fortunes are many.

In short in May well be the times are looking for that first town where that second how -- that third home to grab the best price possible.

Don't believe me.

Look at what happened of the people who exit -- the stock market after the 1997 sell off and never came back they -- historic gains.

Look much of what comes down to timing in the housing market clock is ticking down to a more normal market real pay more for that dream house.

The choice is increasingly you're yours wait and pay or strike early and get a bargain.

That's what I think now.

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