I was reading an old newsletter from 1982 that stated that the bad news in real estate was: Business is slow – interest rates are high and going higher, sellers can’t get their equity out, buyers can’t come up with sufficient down payment or monthly payments.

And the good news in real estate was: Business is slow – interest rates are high and going higher, sellers can’t get their equity out, buyers can’t come up with sufficient down payment or monthly payments.

The point of the article then and the current truth is the news is good or bad depending on our reality. Buyers and sellers have always had problems to solve and needs to be met. Sometimes the pendulum swings in favor of the buyer sometimes in favor of the seller. I took notice to the cycle, because we heard the same thing in the 90’s and now we hear it again. The more things change the more they stay the same. Whether the glass is half full or half empty depends on your reality what is a problem for one is an opportunity for another. I found this view particularly interesting when later I read “real estate is changing radically in the ‘80’s’. Sound familiar?

In actuality I don’t think real estate ever really changes, it comes down to identifying and satisfying the needs of a buyer and a seller - this is our rose of success. What changes is the number of thorns surrounding the rose and developing the skill to enjoy the rose without getting pricked along the way. Sales contracts have been getting longer and longer, disclosures now cover everything from weeds to meth-labs. The need to educate and problem solve for the client will never go away. I doubt that we will ever stop saying that real estate is radically changing and I doubt that the industry will ever stop evolving.

We are now faced with a new set of challenges as the sub-prime mortgage market goes through a melt-down and some of the big names in the mortgage business have closed their doors. First time buyers are going to be faced with more challenges finding finances, while the move up seller will have to be more patient selling their current home. Some of the fall out according to recent reports is that over 300,000 real estate agents will leave the business in the next 18 months. It appears the culling out of the weak has begun in both the mortgage and agent ranks. All of this will provide opportunity for the competent and strengthen the industry and the market to the benefit of all.