Massachusetts Sees Home Sales Increase in April

by on States

With home prices at historic lows all across the country and the federal interest rate extremely low, economists and government officials are hoping that sooner or later people will start to take advantage and buy real estate. Buying up excess property is the only way many think the housing market can actually rebound, and it seems that in some areas, this is beginning to take root.

Massachusetts has long been a standard of just how poorly the housing market is doing. The market virtually ground to a halt here after foreclosures ravaged the area and home values plummeted. But although home values saw their biggest drop year over year between April of 2008 and April of 2007 in Massachusetts, experts saw an increase in home sales between March and April, which could mean buyers are beginning to become aware that it is an opportune time to buy homes, the first step in the repairs that experts hope buyers can make in the housing sector.

Sales in April were up over 20% higher than they were in March, and much of the buzz was generated by the foreclosure market. Buyers are starting to realize that foreclosures are going for roughly 40% lower than their actual value simply because banks and repossession agencies are overloaded with them and trying to get rid of them. However, this is key to bringing property values back up, as foreclosures flood the market and have a negative value impact on properties around them.

Experts predict buyer confidence will increase as the year goes on assuming things stay as they are now, and hopefully that should lead to a turnaround in the Massachusetts foreclosure market.