U.S. housing sales are near a bottom, the chief economist of Freddie Mac, Frank Nothaft, said on Saturday.
He noted that Federal Housing Administration lending is up sharply, with FHA loans at the largest share of the U.S. housing market since 1942, and mortgage rates are at a 50-year low. However, in Long Beach, and near-by cities, it looks like the bottom for real estate was 2 months ago. I have been showing homes and writing offers for several clients over the last several weeks, and usually, we are in a multiple offer situation, you know, like in the 2004-2005 market, with over bids, and counters like "Your highest and best". This is true in the price ranges of up to the $700,000 mark for Single family homes. So, if someone is looking for a luxury home, there is still time for negotiations, price reductions and sellers concessions.
It is believed that more foreclosures will soon be released by Bank Of America and by Fannie Mae and Freddie Mack, There is no way of knowing how many of these homes are in Long Beach, and we do need more homes for sale, since our inventory is shrinking.