2015 Jubilee Real Estate Market Forecast
To get clues about what the future is likely to hold in Jubilee home sales you first must take a measure of market demand and examine the trends. Looking at closed sales, as we did in our previous article, you gather some important information about the past. Market demand, however, is a measure of current conditions and therefore requires a different set of data. In my opinion, the best measurable evidence of current demand is to look at the number of new pending sales occurring. Once you have that data, you can compare it with listing inventory trends to get a pretty clear indicator of where the market is headed (at least in the near future).
As you can see from the above chart, the number of new listings and the number of pending sales typically follow the same curve. However, in the second half of 2014 the number of new listings dropped consistently while new pending sales remained steady. The chart ends with new pending sales spiking while new listing inventory dwindles. This lack of supply is likely to drive market prices upward at least for the first quarter of 2015. Supply will surely catch back up as homeowners will spot the opportunity and hope to sell as the market rises, but in the short term it may lead to bidding wars and a very competitive seller’s market.
Stay tuned for our monthly market reports throughout 2015 for current trends, market analysis, and our projections for where the market is headed!