What do you guys think of the current real estate market?

Question

Ok so its no secret that the real estate market has been going down. Foreclosure, Lender's not approving buyers. Where do you guys think the market going?

I agree that it is still a buyers market, but for realtors and loan officers its mainly finding someone who has the money to put down and a good credit score because Lender's are being extra careful. Its also true that people where not well informed with the loans they where getting screwed into.

Answer 1

Its great for me. I want to buy and I am not selling the home I am in (gotta live somewhere). Not so good for someone who has to sell there home or who made bad choices. It is all in how you look at it. There is no way it could just go up, up, and up, it had to stop somewhere.

Answer 2

I think now is a great time to be a first time buyer-you aren't trying to unload a place just buy one. You have a great selection and people are willing to give more on price. If you have excellent credit and can get a loan you are in good shape. The folks having trouble are likely people who shouldn't be getting large scale loans in the first place or they are going for more home than they can really afford. I think the market is down in some areas and not others-in our area prices are still holding and some places are setting for a year or more because the seller can not take less than asking and they got the place to flip. I think in many areas the market will come back up in a year or so and be stronger in the long run since this has shown that we need to go back to the traditional rule of thumb-a large down payment of 10-20% at least, housing costs that do not exceed 28-30% of the monthly income for the household, and solid credit before getting a home. That is hard for some to hear since people today want stuff right now and feel like they deserve to get something for any small effort. If more buyers had to meet these guidelines in the first place they would not have been talked into balloon payments and be facing foreclosure.

Answer 3

Hi,

I think we are in a great buyers market and moving into an even better buyers market. We have just started to see the tip of the iceberg in the foreclosure sphere -- there is going to be tsunami of foreclosures coming up, which is hard for homeowners but great for buyers. With all the foreclosures coming in, lenders are more willing to do shortsales, which is driving prices/values down. Also, homeowners will become more flexible in giving terms in order to sell their houses.

I have seen the predictions for turnarounds starting as soon as January 2008, but I dont think it is going to happen that soon. I think we are looking at a minimum of a year and probably two years or more of down markets.

If you dont have to sell your house, dont. Many people panic when they realize that they owe more on their house than it is worth. But, as long as they can make the payments and the house suits their needs, there is NO reason to sell. The market will come back. It is foolish to sell in a buyers market if you dont have to. Patience and rational thought are called for.

That being said, I am very excited about buying property in this market and holding for the long term. We havent seen a market like this since the RTC days and fortunes are going to be made in the next 2 - 4 years.

Best of luck to you,

Barbara
www.therealestatebirddog.com

Answer 4

Although the mortgage rate has come down a bit and many are applying, two questions remain. How many are actually eligible? And how many have over financed their houses with ARM's just now coming into the reset of finance rates, especially those foolish enough to go with just interest payment loans. Over two million coming up in the next three months. This has gone well beyond the sub prime market and into the prime.Even with government help I think that will only delay the inevitable, housing prices, energy prices and cost of living has greatly increased while wages have remained for the most part stagnant in comparison. People have used their houses as a giant ATM and now with the glut of houses on the market find that they are worth less than they owe. THis will not settle out for at least a year with prices dropping another 7-8%, if the government does step in with a program, then figure a delay of about a year, and this dragon will rear it's ugly head up again, shortly after elections. thus adding another year and another 4-5% Depreciation. The cure is a resetting of the over evaluation of housing, or bursting of the bubble, as with the dot com fiasco. But it is an election year so band aids will be applied to the problem in order to get re-elected

Answer 5

The Real Estate Market is great for buyers, now is the time to invest. There are a lot of great properties to choose from. I just read about the future Real Estate Market in Southwest Florida. It said that we will see a major turn around beginning of 2008. Prices will increase again and inventory will go down. Actually we are seeing a lot of home buyers and investors coming back already. The Mortgage Situation is not to bad, there are still lot of good programs out there.

Answer 6

The top of the San Diego California real estate market was the summer of 2005. Most home values are now off by double digits!

I think we are only half way through this decline. 2010 should be the bottom.

Keep in mind, the average San Diego median home price is over $550,000. So, a 15% decline is a $82,500 loss! If you purchased last year, even with 20% down payment, your San Diego home could now be worth MUCH LESS than the amount of your mortgage!

With my take on the background of the current San Diego real estate market expressed, my opinion on the immediate future is that the San Diego real estate market is likely to accelerate down as the popular adjustable rate mortgages from the last few years come up for their first adjustment.

Yes, San Diego housing values could easily be down 25 to 30% from their summer 2005 values by the end of 2007.

For some great 'insider' articles on the San Diego real estate market, which I believe will apply to any of the hot real estate markets of the past five years.....visit:

http://www.brokerforyou.com/brokerforyou


Additional real estate info sites:

http://www.downtown-san-diego-real-estate.com/san-diego-real-estate-article-index.htm
http://www.brokerforyou.com
http://www.san-diego-for-sale-by-owner.com
http://www.la-jolla-ca-del-mar-san-diego-real-estate-encinitas-california.us
http://www.brokerforyou.com/blogger/index.htm
http://www.sandiegorealestatelibrary.info
http://www.sandiego-agent.com
http://san-diego-coastal-real-estate.blogspot.com
http://sandiegofsbo.blogspot.com
http://downtown-san-diego-real-estate-views.blogspot.com
http://san-diego-coastal-real-estate.blogspot.com
http://sandiegofsbo.blogspot.com
http://downtown-san-diego-real-estate-views.blogspot.com
http://www.brokerforyou.com/san-diego-real-estate-sales.html
http://www.poway-real-estate.info
http://www.del-mar-real-estate.info
http://www.la-jolla-real-estate.info
http://www.los-angeles-real-estate-brokers.com
http://www.san-jose-real-estate-brokers.com
http://www.orange-county-real-estate-brokers.com
http://www.san-francisco-real-estate-brokers.com
http://www.sacramento-real-estate-broker.com
http://www.alpinerealestateagent.info
http://www.bonitarealestateagent.info
http://www.carlsbadrealestateagent.info
http://www.chulavistarealestateagent.info
http://www.clairemontrealestateagent.info
http://www.elcajonrealestateagent.info
http://www.encinitasrealestateagent.info
http://www.escondidorealestateagent.info
http://www.fallbrookrealestateagent.info
http://www.jamulrealestateagent.info
http://www.miramesarealestateagent.info
http://www.nationalcityrealestateagent.info
http://www.pacificbeachrealestateagent.info
http://www.pointlomarealestateagent.info
http://www.santeerealestateagent.info
http://www.sorrentovalleyrealestateagent.info
http://www.tierrasantarealestate.info
http://www.universitycityrealestateagent.info

Answer 7

I think the most pain is dead ahead!

Why?

Mortgage Re-sets.

Look at the mortgage resets for the subprime mortgage market next year.

Aug (07) 52 Billion Dollars
Sep 58
Oct 55
Nov 52
Dec 58
Jan (08) 80
Feb 88
Mar 110!!! WOW
Apr 92
May 72
June 75
July 50

Answer 8

You have got to record the residence proper instantly. Always record a contact larger to deliver the purchaser room to barter, however in case you record too top, come down, come down, it simply makes your residence appear unwanted. You have got to uncover a reliable realtor who sells for your discipline. If you relatively relatively desire to promote it quick, rate it simply above your appraisal after speakme with a realtor. Please recall we had a housing increase and that is lengthy over. This is a BUYER'S MARKET and you're competing with foreclosure in every single place you appear. Price it properly and it WILL promote. Price it flawed and it WILL sit down.