2006-10-09 14:42:08 · 3 answers · asked by Red98 2 in Business & Finance ➔ Renting & Real Estate
I totally disagree. I think that we will have a slight correction that will run throughout this coming year and maybe the next but it won't be catastrophic. My guesstimate along with the real estate gurus in CA see about 2-3% correction in the next year and possibly 2-3% the following year. Real estate is cyclical and never continues a downward trend for long. 5-7 years is an average cycle in real estate.
2006-10-09 15:59:56 · answer #1 · answered by Debbie P 2 · 1⤊ 1⤋
I have to agree with Debbie. I'm in Southern California and I'm seeing some areas dip to late 2004 prices while others staying strong. If you're on the fence to buy or not and you're renting, you should buy and don't worry about the pricing for three reasons:
1. Real estate goes in cycles and as long as you have the holding power, you'll never lose money in real estate.
2. The housing price will never sink below the replacement cost of the property. The first responder stating 50% loss is not knowledgable in real estate.
3. rates are still historically low
Please feel free to contact me if you have any questions.
2006-10-09 21:32:44 · answer #2 · answered by Anonymous · 0⤊ 0⤋
There is going to be a big correction. The writing is on the wall and you will hear a lot of rose colored pictures trying to be painted, yet the evidence is so self evident that what little credibility they have is being lost. Find out why and how they made the bubble.
http://www.breakingbubble.com/index.htm
2006-10-09 15:17:37 · answer #3 · answered by Anonymous · 1⤊ 1⤋