Ever since the real estate market crashed and led to a high number of distressed properties on the market and a record number of foreclosures and short sales, everyone has been asking the same question: “When will a real estate market recovery occur?”
Have We Reached “the Bottom?”
Over the last couple of years it seems as though many people have been speculating when we will finally hit the rock bottom of the foreclosure crisis, which means we can start building up toward recovery. Some analysts believe we have already hit the bottom and are currently moving toward real estate market recovery, while a few others disagree.
An analysis of current data and several diverse metrics reveals that we are actually moving toward a real estate market recovery; however, we are not even halfway back to “normal.” Low prices are still the norm.
Real Estate Market Recovery in 2015
According to the recent data, it appears as though real estate market recovery will more than likely not occur until the year 2015. With the high number of distressed properties still on the market and the high unemployment rate, real estate market recovery is not “just around the corner.” However, we are at 34% in terms of recovery, meaning that we could very well reach “normal” by 2015.
There are two different ways to look at this situation.
First, it is great to hear that despite wide-open foreclosure processes and a high number of short sales over the last few years we are finally making progress toward recovery. We can stop asking “When will we hit the bottom” and can instead start focusing on investment opportunities and real estate growth.
The second way to look at the situation is in the light that we still have 3 years before the market fully recovers. However, even this situation can be very appealing for investors waiting to hear that recovery is underway before investing in cheap houses throughout the country.
The current real estate market still has a number of foreclosure properties, short sales, and handyman specials that are ideal for investing. However, news of a recovery coming in 2015 means there are only a few more years to take advantage of the incredible opportunities the current real estate market provides.