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By THE BAKERSFIELD CALIFORNIAN
Local Realtor Scott Tobias of Prudental Tobias shared his insights on the local real estate market Thursday on "First Look with Scott Cox."
"This is probably the most normal market I have seen in a long time," Tobias said. Yet we have a way to go to get to the normal of about four months of inventory.
He said we're in a so-called recovery, with a 35 percent increase in home prices over the last year, which he called significant. Will it continue? No, he predicted; a normal increase would be about 4 percent.
Those who are buying as an investment have probably missed the boat, the past president of the Bakersfield Association of Realtors said.
He noted there has been some struggle with inventory over the past year, but there is inventory.
Simulcast guest host Lisa Krch said she hears the market slowing down; Tobias agreed there's been some of that in the last month.
"Some of it is interest rates, for sure. But the reality is we're selling as many houses as we have," Tobias said.
He said that year-over-year, prices have increased and inventory has been steady.
And as prices rise, homeowners who have more equity and were thinking about moving now have the opportunity.
Tobias noted there have been a lot of investors in the market, and predicted that will slow a bit.
He also said young people who may have been concerned about the market and stayed in apartments are turning around and buying houses.
Californian reporter John Cox asked Tobias if he's still seeing multiple offers on properties. Tobias said it's still tough for those trying to buy a house priced under $200,000.
Krch said she hears a lot of people ask about getting into real estate as a career.
"It's not the market, it's the person who is going to be successful," Tobias said.
He said it's not a cakewalk, and agents need to be disciplined, service-oriented and care about their work and helping people with what is perhaps their biggest investment.