It's a perfect storm right now in real estate as this interesting market is brewing...
- Low inventory of homes for sale.
Why? Anyone who bought between 2005-2007 may finally be getting out of an "under water mortgage" issues but from fear, are more reticent to buy again. They are also waiting to sell because they themselves are not seeing - from low inventory! - the homes they like that will give them incentive to sell.
- More buyers.
Why? Historically low interest rates, loosening of loan regulations, new loan programs helping buyers, prices are still reasonable, and those forced to rent after losing homes in a short sale or foreclosure are now ready to buy again. The low inventory is gradually driving up prices because of the all the competition