"The Real Estate Market has shifted drastically and dramatically. Sales volume and the number of transactions have dropped significantly. Inventory (of Homes for sale) has reached an all-time high. Buyers have never been more reluctant. Fear is rampant, anxiety is high, and people are getting out of the business left and right. Sound familiar? Sure it does. The year was 1979 and that's what was happening all around me."
~Gary Keller, introduction to "Shift"
I'm currently reading Gary Keller's new book titled "Shift" -How top Real Estate Agents tackle tough times. When I read this paragraph I thought he was referring to the current market, not what was happening 30 years ago. Real Estate Markets do shift and the challenging market we're currently experiencing has happened before and will happen again.
I like to think of myself as an optimist and there are some positives to this market. If you're a buyer there's a large inventory of affordable homes, interest rates are at historic lows, and there are tax incentives for first time hombuyers. If you're selling and purchasing a home, you may not make as much of a profit on your property, but you will make it up on the buying end.
As the saying goes, "this too shall pass". The shift in this market will start moving on an upward trend, we just don't have that crystal ball to know when. The experts are saying through the summer of 2009. According to the National Association of Realtor's sales are expected to edge up 6% in 2009 as well an increase in national average prices from last year. Interest rates aren't expected to drop next year unless a federal interest-rate buydown occurs, which is what the NAR is pushing for. Even though the market has it's challenges, I look forward to helping buyers and sellers achieve their real estate goals in 2009.
Please give me a call if you have questions about the current market conditions or if you're planning to buy or sell this upcoming year.