Two years ago the economy was strong; the sub-prime/mortgage crisis was a "whisper" in distant cities (L.A, Phoenix, Las Vegas, D.C.) and Chapel Hill was at the height of the market.
Today, the sub-prime/mortgage crisis "whisper", is a massive crisis that has even permeated our insulated town:
- Sales in Orange County are down 36% from March 2007
- Listings in Orange County: 784 active listings (March 2007) , 1005 active listings (March 2008) (+22%)
- YTD closings 2008: 4719, YTD closings for same time period 2007: 6241 (-25%)
NAR came out today and said nationally March numbers are down 2% again with prices down 7.7% from a year ago http://www.nytimes.com/aponline/business/AP-Economy.html?ref=business
A majority of economists think we are going into a recession; etc.
As with all things, this too will pass. For sellers, the key to survival lies in having realistic expectations and going the extra mile with guerilla marketing tactics. For buyers, there are deals to be made. Patience, and the ability to walk away, can pay off in finding a bargain.