Capitulation Coming to the Housing Market

By
Real Estate Agent with RE-Source Realty Brokers, In.c

Please have patience...All will yet be well....  

Please take a look a at something Clark Howard just said on his website:   "Capitulation coming to the housing market  It's no secret that right now it's a tough time in the housing market for sellers and a confusing one for buyers. If you're selling and you have a lot of foreclosures in your neighborhood, you've probably noticed the value of your home declining. And if you're buying, you're facing a variety of exotic weirdo loans with adjustable interest rates, option payments and more. But relief may be around the corner in a market phase called capitulation. Look at markets like Denver, Salt Lake City, Houston and Southern California. These are all places that suffered through a bad real estate depression, but recovered and thrived. How did they make a comeback? Well, the ultimate measure of whether or not a real estate market will thrive is job growth.

It's also important to remember that the mortgage market is not a monolith and some segments are already in good shape. For those with decent credit seeking a conventional 15, 20 or 30 year loan, the rates are now lower than they were just a few weeks ago. What it comes down to is that a lot of speculative markets had bubble growth and it will take time for them to unwind. So if you're considering buying a home before the year is out, you may want to just wait a little bit longer until 2008. Likewise if you're in a cold climate, once winter comes there will be more opportunity, according to Clark. Think of the push toward capitulation like a baseball game; right now we're in the third inning of a nine-inning game, Clark says."  

My take is this :   Atlanta has good job growth. We did not suffer (or enjoy) a huge bubble... We are going to do just fine... Be patient.....  
 

William McDaniel | Commercial Managing Broker
Re-Source Realty Brokers, Inc.
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E-mail: wgmcdaniel@aol.com
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I specialize in commercial  transactions and representing professionals in the purchase and sale of homes.   With more than 30 years of legal experience, and 17 years of Brokerage, I can get the job done. Emory University (1968), University of Georgia School of Law (1973). Member National Association of Realtors, Georgia Association of Realtors, Atlanta Board of Realtors, Atlanta Commercial Board of Realtors, FIABCI (International Association of Real Estate Professionals), AGREE ( Association of Georgia Real Estate Exchangers,) Georgia Association of Real Estate Investors, National Association of Property Managers.

Comments (2)

Adam Brett
The Adam and Eric Group - Fullerton, CA
The Adam and Eric Group, Fullerton's Finest
You are correct.  This market is very stable within the overall picture.  Interest rates will get even better for conforming loans and buyers that shouldn't be able to get a loan are the ones who are in trouble.
Sep 04, 2007 08:29 AM
Bill McDaniel
RE-Source Realty Brokers, In.c - Atlanta, GA

I totally believe you are right. The pendulum ahasd swung a bit too far, and it will come back...

 

Getting old does teach patience...

 

:)

Sep 06, 2007 05:02 AM