The Housing Market is Pushing Forward.
Foreclosures declined 7% in September and the number of foreclosed houses are down 50% from 2010.
CNN money even titled a recent article “The New Housing Boom”. According to CNN Money, Barclays Capital suggests the housing prices could hit another peak as soon as 2015.
"In our view, the housing market had undergone a dramatic over-correction during the prior five years, resulting in pent-up demand for housing purchases that would spark a rapid rise in housing starts," said Stephen Kim, an analyst with Barclays, in a note to clients.
In addition to home sales going up, new construction will play a huge role in the market. As many new construction projects were delayed during 2007 -2012, demand continues to grow and with the economy stabilizing, the construction of new buildings are estimated to grow 20% EACH year for the next two years. "We think the recovery is for real this time around," said Rick Palacios, senior analyst with John Burns Real Estate Consulting. "If you look across the U.S. economy right now, there are only a handful of industries looking at 20-30% growth over the next 4-5 years, and housing is one of those."