After months of declines, home listings on the rise
Everyone knows home prices have been on the slide now for years, both in Greater Boston and across the country.
But another key indicator has also fallen steadily during this time - the number of homes listed for sale on various MLS systems across the country.
As it became harder and harder to sell, fewer homeowners put up a for-sale sign unless they absolutely had to.
Now there are early signs that could be turning around - though it is hardly unqualified good news, as we shall see.
Homes for sale rose by nearly 3 percent in January compared to December, ZipRealty reports, which looked at 27 major metro markets, including Boston.
It is the first time in 18 months the number of home listings rose and it comes after a big drop in December, when the number of homes on the market plunged 5 percent.
Homes for sale in Greater Boston also edged up by roughly the same percentage, to 27,547.
So what's driving this shift?
A happy spin might be the tax credit is finally getting homeowners into the game, not just potential buyers.
Finally seeing a decent chance to sell, homeowners who have been sitting back, waiting for the market to recover, are opting to take a chance and get listed in advance of the spring market, or so this argument goes.
That would at least signal a little more of a balanced market.
Yet we may also be seeing banks finally start to unload their massive inventory of millions of repossessed homes.
If we are seeing the dam start to break here, that's obviously bad news, with the potential for a flood of vacant homes that will send prices spiraling even lower.
Anyway, the rise in listings is an interesting development and one worth keeping an eye on if it continues.
