Looks like buyers are back. The emotional sentiment that drives housing is definitely on the positive side. In addition the lack of inventory has driven prices up so 1.3 million less people are upside down. So, sellers are back. The problem is without enough inventory, this can’t sustain itself. Even though building is starting to ramp up, it takes 2 years from permit to house.
States like Ca. which does not have a judicial foreclosure process are more likely to continue the housing recovery quickly. Here we go again.
The stumbling block could be the 2007 Bush mortgage relief act which is set to expire at the end of the year. This allows folks whose houses sold for less than the loan to have the debt forgiven. Another unknown is the affect that the election being over, no matter who wins, will have.
What do you think will happen to housing if your party wins or loses?