Five Latest Signs of Market Recovery. Are we bouncing back?

With recent US government efforts to jumpstart the economy, real estate professionals should be prepared to get back into a market that will include a huge inventory, reduced prices and record-low interest rates.
Below are the five latest signs of recovery.
1. Recently, the Wall Street enjoyed the biggest four-week rise with DOW in more than 70 years. (Fortune Magazine, April 2009).
2. Mortgage applications increased by a record amount last week, spurred by the Federal Reserve's announcement that it would purchase mortgage-backed securities, and would be open to making further cuts in prime interest rates.
3. There has already been some positive news in the housing market. Home sales in some of the country's most affected regions have been recovering. According to DQNews.com, Southern California home sales stayed above year-ago levels for the eighth consecutive month in February as the median price ceased its month-to-month decline for the first time in ten months.
4. The recent personal income report was also stronger than expected. Personal income in January rose 0.4 percent, following a 0.2 percent decline in December.
5. The US Banks are also showing signs of recovery. Wells Fargo, U.S. Bancorp and TCF are enjoying rising share prices, suggesting better days ahead.
And thank you for making me Your Orange County Real Estate Connection.
Best regards.
Michael Caruso, Broker ABR ABRM CRB CRS GREEN GRI
2007 President, Orange County Association of Realtors
(949) 753-7900