How do you feel about the Real Estate Market Today?

Hi, Bob.  

You mentioned "Government".   Step #1 is to get the Federal Government out of the Real Estate Business, and out of the Lending Business.  Government caused the problem, Government is the Problem.   Let the Free Markets work!

Step #2 is that both Banks and Private Sellers must come to grips with Reality.   With rare exceptions like San Francisco, Long Island, and Washington D.C.,  most areas of America have seen 10 years of Equity literally wiped out.   Houses have declined in Value by 25% to 50% or more across the USA.   Price them accordingly!

Step #3 -  the 2012 Elections - dump ALL incumbents, every last one of them.   Maybe just maybe we can get some new faces that actually care about America.

Simple. People need to learn to SAVE and not expect 5% down-payments. Bankers need to KEEP their mortgages rather than pawning them off on investors, thus removing the consequences to writing bad loans.

The housing market is stripping out excess value created by special financing, increases in in household incomes and inflation.

Existing homeowners are going to sell with a perceived loss of equity, remain upside down in their houses unable to sell or move, or they are going to sell short, allow foreclosure or other distress sales.

Once 1st time homebuyers, relocation clients, homeowners with equity who sell and buy replacement properties, and investors absorb current distressed property inventories, prices will stabilize at a new, probably lower level.  Lenders I talk to think defaults and foreclosures will generally be sold through in the next 1.5-2 years.  Market stability is mainly a matter of time.