Housing Market Becoming More Balanced: Re/Max CEO

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Oct. 23 (Bloomberg) -- Re/Max CEO Margaret Kelly discusses the current housing market climate with Mark Crumpton on Bloomberg Television's "Bottom Line." (Source: Bloomberg)

What happened prior to the recession.

You are right.

His line about i can't apologize for being superman, we can only go with the facts that we see.

Look at historical data, and do the best we can.

Do not think anyone was able to predict the severity of the recession we had.

Data released today shows that more u.s. homeowners are listing their properties.

What are your people on the ground telling you about the current housing climate?

If you look back, there was over the last year or so, low inventory.

With low inventory, you have a supply and demand issue.

Lohse manned, high demand.

Rice is go up.

More and more people under water on mortgages are not.

They are able to list their properties because they have been able to sell.

The heat we have seen in the market recently is the imbalance of supply and demand.

We are seeing that coming back into line.

What's the average rate on a fixed loan, 3.9% last week from 4.6%. price increases jump in borrowing costs.

They put real estate out of reach for some would-be homebuyers.

Do you see any release for renters to what to purchase a home?

If you put it in perspective, in the last 12 months, since september of last year, mortgage rates have gone up one full percent.

Transactions and the failed prices have gone double-digit increases.

It is not holding people back from being able to purchase a home or the desire to purchase a home.

Are we getting any closer then to a balanced market where there are equal numbers of buyers and sellers, and what about this sustainability of the recovery?

What is the trajectory?

Will be consider a balance market is six months of inventory.

Right now we are five months.

To put it in perspective, if you look at miami in 2000 and -- in 2008 or 2009, we have 32 months of inventory.

That is that 3.2 months of inventory.

Things change quickly.

We are at equilibrium.

It is not quite a sellers market anymore.

It is becoming more balance.

That makes it better for us.

The heat we had in the market was the input of buyers and sellers.

The housing numbers, is that due to seasonal factors or a slowdown in sales?

We are looking at it as a factor of seasonality.

Almost always, sales are lower than august sales.

We have had the market, we didn't really see that seasonality as much as we are seeing it this year.

Exhibiting back to normal.

Where you the most sales increasing?

Surprisingly, i read the statistic today that the market is 65 days.

In january it was 89 days.

You are saying that sales are happening much quicker.

About 73% of the investors who are buying properties are doing all-cash deals.

It speeds up the process.

We have about 20% of first-time homebuyers in the market.

The rest of people who are either moving up or moving down in their home.

There is a lot of activity on all levels in the market.

Geographically, where we sing that?

I will tell you what, san francisco has two months of inventory.

Denver only has two months of inventory.

Florida, a lot of areas.

This text has been automatically generated. It may not be 100% accurate.


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