Quote:
Originally Posted by CWeb
Think you are right in riding out the storm. There are plenty incentives from developers to encourage buying, but the only reason for the incentives are that the developers are under pressure to move product.
It's hard to say if this is the main event yet or just a preamble, tho many small things indicate a hardening up in lifestyle/money supply. Example.. the use of plastic cards, - these were traditionally used for impulse mall purchases etc. But now cards are being used to buy basics, like food - and less on impulse buys of non-essential products.
On a bigger scale and more related to property - there have been a lot of mortgages issued based on fantasy and little hope of repayment and home builders are throwing out high sales incentives in an effort to move stock and meantime dumping land stock assets to anyone willing to take a risk, - that suggests a problem.
When you think that homes account for about 23 percent of the U.S. economy when you add sales of home contents, housing-related jobs, small home building companies - skilled laborers - contractors/subcontractors - real estate agents - title companies - retailers/ manufacturers of home products et al - that is one large lump for any economy and vital it remains intact/stable.
There are too many other factors which can be good/bad, but generally the good side is harder to find in Pandora's sustainabilty box...
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That is definately true. Last year my mortgage broker was so busy you could hardly ever get a hold of her. This year I've gotten here every time I've called. She has mentioned business slowing down a bit for her company. She een joked if my business partner wasn't buying up all this property every month, she wouldn't be busy (all joking aside, he's picked up maybe 8 units in 2007).
But I have noticed that between the realtor's calling, and e-mailing me more. Plus her, and the 'price reduced' signs. There is definitely a few things brewin here locally for me.
Right now I am waiting it out, and just adding more money to the war chest. But I'm thinking by fall some of this should shake out, and stabilize the market, and prices.