It’s impossible to tell the future of home prices… at least that’s what they teach us to say at real estate school. If they would’ve taught us to watch the supply and demand of homes we may have ALL avoided the real estate crash in 2007 and 2008.
Luckily after 29 years experience as a realtor I’ve learned a thing or two. A few tricks that prompted me to sell ALL of my $2,000,000+ worth of investment homes before the market plummeted. I’m not gloating, because I got stuck in a bad deal selling a 100 acres behind the San Tan Mountains a little too late. But here’s how I knew prices were going to change and how I knew to start fire selling everything.
Below are some graphs of the market between April of 2013 and April of 2014. Looking at the first graph below, the red line going up indicates that the inventory of homes has climbed to about 80 homes and has stayed there for the last 6 months. If the inventory grows much more than 80 then expect prices to soon go down (not guaranteed, that is just what has happened in the past).
That isn’t the only indicator. But it is the easiest one to read and is fairly consistent. I’ll show you later in a blog-post where I’ll outline the crash in 2007 and compare it to the inventory of homes and you’ll see how important this information is.
If you would like to be notified of major shifts in the inventory so you can determine if the value of your home rises or plummets, then contact me at the phone number on the top right of this web page or enter your email in the bottom right of this page. Write in the “message” box that you want to be notified of market statistics in San Tan Valley.
That’s it… it will forward to my marketing guy and he’ll notify you of major shifts in the market. If only you had this info in 2003-2008…. you could’ve known exactly when to buy at the bottom in 2003 and sell at the top in 2006 making more than $200,000 on an average 4 bedroom 2 bath home…. or could’ve at least avoided the biggest financial catastrophe since the Great Depression.