Five Fearless Predictions
1) Indianapolis and a number of markets will see no significant reduction in home inventory.
Thousands of homeowners are awaiting the first good sign of real estate tidings. When they see it, the market will get flooded over and over with waves of new listings from years of pent up selling interest. Make no mistake....inventory is the single biggest factor in value growth above ALL others.
2) Many Real Estate Companies and Realtors will continue to 'spin' the market positive.
As consumers you must understand some Brokerages and individuals simply cannot help themselves. They cannot find it in themselves to say 'it's a great buyer's market but a challenging seller's market.' They actually still think that you won't find out if the market is in the crapper. In a web 2.0 world, transparency is the key to credibility. Those that have it will survive. Those that don't have no chance. Proprietary information is dead. It's what we will do with it as real estate professionals that will make us shine.
3) Interest Rates Will Continue to Go Down.
We may see rates flirt with 4.0% before we're done. 4.0%! While that would be an amazing rate, is still will NOT trump fear consumes are feeling. If you offer a prospective buyer a 0% interest rate but he's afraid of losing his job, it still doesn't matter. Things will get better when consumers get a bit less cynical.
4) Those who sell and or buy in 2009 will look back and be very grateful.
While we may see some improvement in late 2009, real estate selling, will not be the same for a long LONG time. If you sell a property now, you may not be leaving money on the table as you think. If you buy, you will most certainly look back in five years and know it was one of the best investments of your life. Not in two years, but five.
5) Lawrence Yun, the chief economist of the National Association of Realtors will continue to say idiotic things about the real estate market.
Pick a month any month, add Lawrence Yun and that month on Google and watch the fun roll in. I would swear this guy takes a great big Bob Marley hit off his favorite plant before he speaks because his views always bring on a clueless grin and a severe case of the munchies. Nice job propping up our cred there, Larry.
Finally, here's a great piece from Lani Rosales of Agent Genius on selling your home. Seem obvious? For many, not so much. Happy New Year everyone. Good riddance 2008.
Questions? Comments? Donations? Greg@GregCooper.com or 317.848.GREG (4734)