| As a real estate agent I get asked the same question | | | | inventory means less demand and prices start |
| a lot, almost so much so I have a perfectly canned | | | | dropping, not to mention the lower priced foreclosures |
| response, the question is; When is the real estate | | | | bringing down the market. |
| market going to rebound? I usually say something like, | | | | Okay, we know all of this, but how does that help us |
| that is a great question, and if I new, I would probably | | | | gauge a rebound in the real estate market? It's actually |
| be all over the news explaining to the masses when | | | | quite simple, the rebound will come when people have |
| the market was going to rebound. | | | | jobs. The reason the market rebounded in 1997 was |
| Unfortunately, just like you, I as well as everyone else | | | | because of the abundance of work in the market |
| in this mess doesn't have a clue when the market is | | | | place. People with jobs have money, money creates a |
| going to turn around. The only thing we can do, is look | | | | healthy economy, which creates buyer confidence, |
| at the trends of the past, and use them to gauge | | | | and is the key to turning around the housing market. |
| what's happening today. | | | | It doesn't matter how many incentives the government |
| What can the past tell us about the market today and | | | | gives to buy, or how low interest rates are, if people |
| where it's going in the future? The past can tell us a lot. | | | | don't have work, this recession is going to continue on |
| If you look at the early 90's, we had a small recession | | | | it's ugly trail. If you want to know when real estate is |
| that brought the housing market down. The cause | | | | going to rebound, you need to keep your ear to the |
| was a loss of jobs, which is also one of the main | | | | job market. When unemployment rates start to trickle |
| factors we are in the recession today. Millions of | | | | down, people will start to get more confident, and that |
| people have lost their jobs and without a job they can't | | | | is the time when our real estate markets will start to |
| pay their mortgages, which means more | | | | rebound. |
| repossessions and foreclosures then usual. More | | | | |