Things crashed early in Sacramento. Is housing rebounding here early, too?
During the housing boom of 2001 through the early months of 2006, home prices in California soared. The state saw some of the biggest jumps in housing appreciation in the nation.
Of course, when the housing slump hit, it hit California especially hard. I hate to think of how many people here saw their newfound wealth shrivel up and disappear once housing prices in California plummeted.
Sacramento, the state’s capital, was one of the first cities in the nation to experience the real estate crash. But, according to a New York Times story, the city may now be at the forefront of what everyone is hoping is the start of a slow, steady housing recovery.
According to the New York Times story, home sales are up an impressive 45 percent in Sacramento since last year. Of course, housing prices are still down, and much of the sales are coming from bargain hunters. Still, an increase in home sales is still a positive sign here.
And Sacramento isn’t the only troubled real estate market to see what experts are saying might — “might” being the key word here — be the beginnings of a housing recovery. In Las Vegas, which suffered dramatic price drops during the housing slump, home sales in March were up 35 percent compared to the same month last year, according to the New York Times.
It’s amazing the difference a few weeks can make, isn’t it? It’s slowly becoming enjoyable to write about residential real estate again. The buyers are gradually returning to the market. Old inventory is slowly being sold off. It’s nice to see.
I’m trying, though, not to become overly exuberant. If there is a housing recovery going on, we’re at the very, very beginning stages of it. There are no guarantees that home sales won’t come crashing down again next month.
So let’s be cautious. But still, enjoy the good news we have been receiving. It’s been a long time coming.
