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Do you think the media effects the housing market?

By
Real Estate Agent with Realty Executives

I've had conversation after conversation with clients, Realtors, family, loan officers etc about this question? A few years back  we all saw and read was about a real estate "bubble"  and how close it was to bursting!! Needless to say those who bought and flipped at the right time had the last laugh! Those who listened to the media and sat on the sidelines did not benefit from the crazy appreciation. Those who decided the media was wrong about the bubble got into the real estate game...but it was too late, and now many are trying to get rid of the properties they picked up at the end of the  frenzy ,thanks to listening to the media.

It's happening again and many Realtors feels that all the negative publicity about the housing market  is having a psychological effect on whether the public buys or sells. Last time the media was wrong. People went out and paid above asking price, in some cases because of the media frenzy and what they hear and read. Isn't it interesting now that prices have gone down, interest rates are low, and it's a great time to buy (especially since you can buy that same house today for less than a few back (in most cases) the  media is not reporting these deals!

I guess we just need to hope that Realtor start to really educate buyers and sellers about the real factors: credit rating, income and  debt load, the available houses in their desired area and the prices.I blame the consumer for not doing their research and contacting a professional Realtor, as well as the media for contributing to the slowdown because they are not education the public on how great the market really is. They contributed to the "Buy High, Sell Low market" and now that the consumer can buy "Lower", I am not hearing a thing! As Realtors we need to educate buyers and sellers...especially since I am hearing that many of the sellers out there don't really need to sell...they just want to see if they get a bite. If you don't need to sell, take your home off the market.

Renée Donohue~Home Photography
Savvy Home Pix - Allegan, MI
Western Michigan Real Estate Photographer
I agree with you about the media.  Yesterday I spent 3 hours getting pie charts up and dividing our market into segments so people can see which markets are moving and which ones aren't.  Right now the rental market is going crazy!
Jul 23, 2007 09:40 AM
Lane Bailey
Century 21 Results Realty - Suwanee, GA
Realtor & Car Guy

There is a stock market measurement called the Trump Effect.  The more that people are talking about Trump, and the more magazine covers he's on, the more likely everything is to come crashing down.  Conversely, the more talk there is of the crash, the more likely the recovery has already started. 

Media coverage follows reality, not the other way around. 

Jul 23, 2007 10:11 AM