Real Estate in 2008 Top Ten Prediction

By
Mortgage and Lending with NFM Lending , Chad McShane, NMLS #342881 NMLS 342881
1)  Home Prices Will Decline and Flatten

2) Short Sales & Foreclosures Will Increase

3) Interest Rates Will Stabilize

4) More Investors Will Enter the Market

5) Related Businesses Will Close Doors

Mortgage companies, appraisers, real estate agents, builders, construction-related industries, title companies and escrow companies will either close doors or consolidate to compensate for the slowing markets of 2006 and 2007. Those that do survive the slowdown will reduce staff.

6) Buyers Will Write Lowball Offers

7) Advertising Will Move Online

8) Inventory Will Increase Before Sharply Dropping

9) REOs Will Refuse to Pay Some Closing Costs

10) Flood Insurance Rates Will Escalate

Comments (3)

Bill Gillhespy
16 Sunview Blvd - Fort Myers Beach, FL
Fort Myers Beach Realtor, Fort Myers Beach Agent - Homes & Condos
Chad,  Many of these seem pretty obvious.  How do you arrive at #8 & # 10 ?
Feb 11, 2008 06:04 AM
Courtney Cooper
Cooper | Cartwright - Seattle, WA
206-850-8841
Judging by all I have read on AR, it seem to me that most of these have happened nationwide.  I think another prediction might be that consumers might turn back to their full service agents with open arms as alternative commission/service models are not able to cut it.
Feb 11, 2008 06:14 AM
Chad McShane
NFM Lending , Chad McShane, NMLS #342881 - Eagan, MN

Bill,  Due to the number of listings that were put on the market in 2007 and did not sell we will start to see an increase in inventory as they cancel their listings and relist.  As home owners get more realistic we will then see the inventory decline sharply. 

Because of the number of national disasters we are already seeing an increase in insurance premiums. 

 

Feb 11, 2008 11:45 AM