Housing market in San Jose paints picture of recovering economy
Ever since the housing bust of the mid-2000s, many potential homebuyers have shied away from extending their finances and purchasing a property. However, recent housing statistics covering the past 12 months are showing that industry experts and consumers alike are gaining confidence in the improving economy.
According to the National Association of Homebuilders (NAHB)/First America Markets Index (IMI) released on October 6, 2012, the total number of improving housing markets in the United States has increased from to 125 in November 2012. An additional 22 housing markets qualified for the designation based on three different traits, including increasing number of housing permits, rising employment and housing prices for at least the last consecutive six months.
"This new high point for the Improving Markets Index provides the latest evidence that housing has turned a corner due to rising demand from consumers who are increasingly confident about the direction of local home values," said Kurt Pfotenhauer, vice chairman of First American Title Insurance Company.
The NAHB goes on to report that the improving housing market is having a positive impact on the general economic outlook of individual metros. The expansion of the residential construction market is giving new life to various industries by supporting job creation and commercial expansions.
For example, houses for sale in San Jose are gaining new attention from potential homebuyers with the improving market.
According to real estate news and custom data provider DataQuick, the number of properties sold in San Jose in September 2012 was 850. The median price of a house sold during this time period was $460,000 - up 13.3 percent in a year-over-year comparison from $406,000.
The improving residential construction market in the city of San Jose could attract attention from potential homebuyers. First-time homebuyers may want to consider checking out homes in the west side of the city. The San Jose Downtown Association claims that communities in that part of the metro are more suburban and feature better schools and more affordable properties.
There are many lifestyles and neighborhoods that cater to them in San Jose. As a result, a potential homebuyer could find exactly what he or she is looking for by researching the various communities that make up the South Bay nook.