Home : Blogs : Jim Crawford ~ Atlanta Real Estate-ABR E-PRO : Atlanta Real Estate Blog - Jim Crawford REMAX Greater Atlanta

What Constitutes a Real Estate Trend?

It's very interesting when you read real estate Blogs or business news these days when they talk about the market recovery. One month of improved sales does not mean a bottom has been hit and we are on the road to recovery. Yes increased activity at open homes could be signs of the market picking up, and it can also be the spring markets were so anemic this year that any activity looks good. I have followed real estate statistics for some time now in several markets. The amazing things is that yes... sales are up, but compared to previous years they are way off their peaks. Sales are off by as much as 50% in some markets, and prices are substantially lower. I know that many homeowners are not doing cartwheels that the numbers of sales are up but that their home is worth a 100K less than 2 years ago. What we all need to see in our real estate markets is many months of back to back increases in sales and price stabilization. Other than that a few months do not constitute a trend. It's just wishful thinking.

RE/MAX Greater Atlanta 770-238-0122 Direct

Or 888-992-5546 Toll Free Office

Atlanta Real Estate & Atlanta Homes for Sale

Posted by Jim Crawford ~ Atlanta Real Estate-ABR E-PRO on 06/24/2009 11:48 PM

Comments (7)

Real Estate Trends in the ActiveRain Channel

real estate trends, real estate sales trends, real estate home sales, real estate trends in atlanta, atlanta home sales, home sales atlanta

Originally posted at: Atlanta Real Estate | Atlanta Housing News for Real Estate: What Constitutes a Real Estate Trend?

This post has been included in Georgia Information
Post is included in group: The Ninety-ninth Percentile
Post is included in group: The Art Of Marketing You
Post is included in group: RE/MAX Active Rain Bloggers
Post is included in group: Realtors®
Post is included in group: Real Estate Rookie

7 Comments on What Constitutes a Real Estate Trend?

JUN

This is painful information that a lot of people don't want to hear or admit to. I also think that a lot of people don't recognize that the bigger problem that the real estate market has and that is the excess supply of homes. Until those get absorbed, home values will fall like a stone.

Even if home sales are up 5% from last year, if the supply of homes are up 15%, you have a problem.

Mark MacKenzie Real Estate Planning I agree. Even though real estate is local seeing the "Big Picture" is a must!

Hello Jim, I'm seeing similar action out here in Washington. I think we are building a base, yet still in a fragile time with much variability still possible. John

Alexander-Slocum REMAX Team - Vancouver WA Real Estate (RE/MAX equity group, inc. - Vancouver Washington) I agree....there are loads of variables, but the base must be built first.

I look for at least three months going in the same direction, and I consider 5% (o less) up or down to be stable, not indicating a trend.

Margaret Woda, Maryland Real Estate (Long and Foster, Crofton Real Estate) I can agree with that. In the 1970's America saw stagflation...there were no clear indicators up or down....the drift was sideways and then became inflationary. That is worrisome. Most economist would look for at least 6 months of back to back improvements before calling the market.

Jim,

The real estate market got so hammered in many areas that the ensuing recovery will be bumpy. It likely will be one of these stops and starts type of thing, instead of a smooth forward motion.

Leave a response…

Name:

Email:
(optional)

Comment:

What does the graphic say?