is the real estate marked going to crash at some point or just continue to slow bleed and for how long?

Answer 1

Well, so far in the Orange County, CA market, it has been stable and prices have increased by roughly 5% since January 2007. But to answer your question, there won't be a bubble burst because the replacement cost have not decreased in the years.

Regards

Answer 2

The endless debate of "The Bubble".

My input is as follows:

Traditionally, real estate goes through a "cooling off" cycle, which occurs right after mass appreciation. This is traditional and has been recorded for more than 80 consecutive years.

Some people like to compare the Real Estate Market to the Stock Market when it comes to market trends, crashes, bubbles etc..

Fact of the matter is, the Real Estate Market is not nearly as fast paced as the Stock Market and does not have the variables necessary to condition a market crash, or burst.

Land is an asset and the last time I checked the Census, our population is growing. People are going to need a place to live as land becomes limited. Simply put, it's Supply and Demand.

If you want to check out how your local market is doing, visit my reference.

Answer 3

All markets ultimately do two things:

1. Boom
2. Crash

...at some point. Is the market going to crash? Yes. If your question is whether there will be a low point in comparison to what the prices/volume is today then the answer is yes.

So I say...so what if it crashes? Great time to buy in my opinion.

Answer 4

It is crashing. The only reason why there is a slow bleed it do to the fact that there are some who are losing what creditability they may still have trying to pump up the market.

http://www.breakingbubble.com/

This web site tells why it is crashing.