I may spend too much time reading the tea leaves in order to determine what to expect in the Real Estate Market in the next few months, as it is beginning to cause me to have quite a headache. Everyone has an opinion and none of them are the same. Construction starts too slow = not turning around anytime soon, yet sales in new construction is up….go figure that one out. Seems to me that this is good news, means that inventory is being reduced which is what we need to have happen… I think so anyway!
Interest rates are going up = bad news for us in the Real Estate business. Maybe that is exactly what we need in order for buyers to realize that rates will never come down to 3.5%…isn’t 5% still considered a really good rate? If not, then we suffered from a horrible case of memory loss. Just because it was at 4.5% a couple of weeks ago doesn’t mean that 5% is a horrible rate. Some of us remember 12% interest rates and thought it was a good deal, maybe some folks need to revisit the history of our industry.
Nobody has the crystal ball, and all I am saying is that the market has been through a struggle, a cleansing process, but we are going to be fine. Sometimes it takes a positive outlook as opposed to being negative everytime we turn around.