According to the August, 2012 survey conducted by Fannie Mae, 40% of responders believe that the current mortgage rates will increase over the next year. Adding to that the 18% who believe that it is currently a good time to sell and 73% feel it’s a good time to buy, it may seem that the market is finally turning a corner.
Las Vegas is still tied for fifth highest in the US for foreclosures, but the percentage is on the decline. Part of that may be due to legislation making it more difficult for banks to foreclose. Part of that may be due to more banks being willing to allow a short sale. Hopefully, part of that is due to the recent uptick in job availability, as well.
There is concern that banks have either held on to or will be taking possession of thousands of foreclosed properties and may release this glut all at once. This would force prices down yet again, and quickly. The number could be as high as 70,000 properties hitting the market at once, as banks are finding legal loopholes in the “Help for Homeowners” programs and laws that slowed them down this last year.
If this is true, the hope is that the banks will dole out these properties so as not to drive down the market all at once. Meanwhile, there is still a strong demand that is keeping the prices moving upward.