New numbers are out for homeowners and people looking for housing in Bakersfield. The housing market has reached a critical point in its recovery, with equity prices very similar to those during the 2004 bubble.
Home appraiser Gary Crabtree says the supply of homes is the lowest he has seen since 1993. One out of every 277 homes is currently on the market. With the supply being so low, equity prices are up.
"According to my forecasting," Crabtree said. "It appears to be on track to a 19 percent increase. To put that into perspective, we have almost the same market conditions as we had in early 2004 when the last bubble began."
The 19 percent increase over the next year would be less than half of the 48 percent increase seen in 2004. Because of different economic factors, it's still hard to say whether homeowners will experience another bubble, and in turn, another burst.
"That is extremely hard to even look at or to even predict. All I'm trying to point out is that we have similar market conditions that exist today somewhat, versus what it was in 2004. Whether there will be another bubble or not remains to be seen," Crabtree said.
Many people who experienced foreclosure are now in the position to buy again. With such high demand, it's become a seller's market, where listing your home can become a financial reward. But, prospective homeowners are having to compete with investors who can pay with cash upfront.
Crabtree says the biggest difference between this time and 2004 is that interest is much lower now. His biggest advice to those looking for a home is to be patient and get a realtor to help you find available homes within your price point.
Home appraiser Gary Crabtree says the supply of homes is the lowest he has seen since 1993. One out of every 277 homes is currently on the market. With the supply being so low, equity prices are up.
"According to my forecasting," Crabtree said. "It appears to be on track to a 19 percent increase. To put that into perspective, we have almost the same market conditions as we had in early 2004 when the last bubble began."
The 19 percent increase over the next year would be less than half of the 48 percent increase seen in 2004. Because of different economic factors, it's still hard to say whether homeowners will experience another bubble, and in turn, another burst.
"That is extremely hard to even look at or to even predict. All I'm trying to point out is that we have similar market conditions that exist today somewhat, versus what it was in 2004. Whether there will be another bubble or not remains to be seen," Crabtree said.
Many people who experienced foreclosure are now in the position to buy again. With such high demand, it's become a seller's market, where listing your home can become a financial reward. But, prospective homeowners are having to compete with investors who can pay with cash upfront.
Crabtree says the biggest difference between this time and 2004 is that interest is much lower now. His biggest advice to those looking for a home is to be patient and get a realtor to help you find available homes within your price point.