As many expected the San Antonio real estate market took a hit in 2008. Homes sold numbers for 2008 (17,359 thru Nov.) were down about 18% from 2007 (21,178) and 23% from the market peak in 2006 (22,621). However, when the picture is looked at objectively, we are still at levels comparable to 2005 (17,909) which was a good year for our real estate market. While December sales have come in disappointing it is reported that with record low interest rates mortgage applications have increased 35% indicating pent up demand a possible boost in upcoming sales. Also, inventory has leveled off and has stopped increasing, another possible good sign of things to come.
Is now a good time to be a seller? There remain buyers in the market (possibly in increasing numbers, see mortgage apps/rates) for homes that are priced right and are in good/excellent condition. Is it a good time to reach for that little extra in price? No. Buyers have a lot of choices and are shopping for the right deal.
Is now a good time to be a buyer? Very possibly. If you will own your home for 5 years or more you have a very good chance of seeing your home values rise. It is completely unreported in the national media that even in the hard hit markets in California, Nevada, Arizona, and Florida, if you bought your home 5 years ago it is very likely that your home is still worth well more than you paid for it. Also, mortgage rates are extraordinarily low right now (30 year rates under 5% for those with the best credit) increasing affordability. So if you plan on being in San Antonio for awhile and have at least decent credit there is plenty of mortgage money available and now could be a great time to buy.