Although the real estate market is a far cry from what is was in the boom years, there are definite signs that things are improving in the Greater Baltimore Metropolitan Area.

 

Typically the winter market in Maryland is sluggish with only very serious buyers house hunting, but the Winter 2011-12 market has been rather robust with lots of homebuyers house hunting and purchasing homes as well—and at a variety of price points.

Additionally, price points seem to have stabilized except for those houses in the luxury market.  Although we are not seeing prices increase, they aren’t declining either.  Supply and demand directly affect the prices at which homes sell and with mortgage interest rates at historic lows, demand has slightly increased and prices have stabilized.  The exception here is for those houses in the luxury market.  With million dollar homes listed for sale on a daily basis, there is a lot of supply available (and there are some truly fantastic bargains to be had in this part of the market).  Conversely, the number of buyers qualified to purchase these houses is quite small, so home prices in the luxury market are still declining.

Short sales and foreclosures will still be a factor affecting home prices, but thanks to our strong job market and employment rate, Maryland continues to fare better in this regard than other parts of the country.

That being said, I think the 2012 real estate market will again offer first-time homebuyers and move-up buyers incredible opportunities to purchase great homes at a low prices with low mortgage interest rates.  If you are thinking about buying a second home, vacation home, or investment property, this could be the year to do it

For more informaton regarding 2012 expectations for our local real estate market, watch the video on the home page of our website.

Wishing you sunshine everyday and your Maryland dream home,
Jeri