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Current market woes

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Real Estate Agent with S Squared Group - Keller Williams Realty BRE#01817654

I have to say I am getting so tired of the pessimistic real estate articles in the local newspapers.  It seems that every day there is another article about sub-prime fallout, more foreclosures, people losing their houses/retirement/investment due to overextending.  Is there any good news out there?

Well, I keep hearing bits and pieces of good news.  A friend who sold his house 2 years ago at a substantial profit is now looking to buy a better place for less.  Another colleague is viewing the downturn as an opportunity to buy income properties for a good price.

I know it is hard to get listings, buyers want to do the legwork and look at the internet themselves, but I am optimistic about the future.  I love this website for ideas and feedback and I have received great information and ideas.

So, this is my affirmation today:

I will smile at everyone I meet, I will be positive in my outlook and I will not buy into the doom and gloom.

Barbara Singleterry Realtor

Coldwell Banker Distinctive Properties

Simi Valley, CA

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Dave Woodson
Dave Woodson - Chesterton, IN
Not the Average Agent
Finally, some one that gets it.  I hate when the drive-by media glosses over the good news and nails the bad news with such vogor and vim
Feb 20, 2008 08:25 AM
Krista L. Walker
RE/MAX Platinum Medford - Medford, OR
Oregon- Homes & Real Estate for Sale
According to a Zillow survey 77% of homeowners think their property values have stayed the same or increased in value.  THEY are not listenng to the media
Feb 20, 2008 08:26 AM
DALIA KIBBY
One Sothebys International Realty - Cooper City, FL
Selling Florida Homes with Passion!
You're right, Barbara.  I've had the best 15 months in the business in 2007 & year to date!  One deal at a time, sticking to what I do, joining Activerain, answering my phone, increasing my internet presence, enhancing my CMAs & other materials, etc.  It's all adding up. 
Feb 20, 2008 08:30 AM
Chris Casebeer
Casebeer & Co - Guide to Santa Barbara - Santa Barbara, CA

Thanks for reminding me that positive vibes will attract positive results.  

Real Estate is and always has been one of the driving forces of all economies.   It too will return.   Who said that?

Chris Casebeer   Chris@ChrisCasebeer.com    Santa Barbara Real Estate Guide 

 

Feb 20, 2008 08:35 AM
Jason Ian Hector
Action Investments and Hawaii Pacific Realty - Porter Ranch, CA
Real Estate Broker in California and Hawaii

Amen to positivity.  I just joined Active Rain and wondering how it has helped others.  I embrace this forum for our business.

I see a lot of positive trends in the business.  The prices have fallen substantially and the demand has not stepped in.  This is a waiting game between buyers and sellers which likely result in further price reductions.

I have waited till now to build my business.  The questions is, how low will it go and for how long.  What price points will the demand come in. 

Self Proclaimed financial guru Suze Orman said on her TV show, you should only offer 2002 prices for the homes today.  If she is right, that would mean a much more significant drop before the "smart money" comes in.

Feb 20, 2008 09:00 AM
Barbara Singleterry
S Squared Group - Keller Williams Realty - Roseville, CA
Honesty - Integrity- Loyalty

It is so nice to hear that I am not the only one who thinks this way. 

Jason, I respect Suze Orman's opinion, however, here in Southern California I don't think the prices will drop quite that far.  If only because most areas are still very desirable and the supply is not growing.  I am just starting to build my business as well, although I have been reading and following the market for several years.  I think we are in for a roller coaster ride and only the strong will survive. (sorry about the cliche)

Feb 20, 2008 12:02 PM
Jason Ian Hector
Action Investments and Hawaii Pacific Realty - Porter Ranch, CA
Real Estate Broker in California and Hawaii

In the San Fernando Valley, specifically Granada Hills, CA you are seeing the single family homes with 3 bedrooms going for 350K.  This is down from 500K.  The demand will come in around $250K in our area based on the buyers that I am working with.  How long will this take?  Maybe around 3 years.

At this price point, investing makes sense because you can rent out the house for 2K a month.  This is around .8% of the purchase price...a good indicator of a positive cash flow.

I will share you my experience with markets...they always go down further than expected and up further than expected.  It happened with the stock market and the recent housing rise.  This is the basic nature of fear and greed and how it plays into the market.  Thanks for the comments.

Feb 21, 2008 01:55 PM