How Many Affected by The Market?

By
Mortgage and Lending with RPM Mortgage Walnut Creek
How Many Affected by The Market? Whether or not each of us has been affected by the housing slump, it is affecting our financial markets and causing gloom among consumers, who feel less wealthy. The first quarter of this year saw a lot of ‘shoes dropping’ (Bear Stearns’ closure being just the biggest) balanced by a great deal of government activity to keep the dropped shoes from falling too hard on the economy. There is evidence that the Federal Reserves liquidity injections and rate cuts have helped, though the repercussions of all this activity will take years to measure. There is also some evidence that buyers are starting to respond to the significant drop in housing prices brought on by the need for homeowners, homebuilders and banks to clear out the inventory of homes they own. The housing market crisis doesn’t affect all of us directly, however, so in this issue we also take a look at other issues that may be of interest to homeowners: Green living, find a mover, and why none of us would ever be able to replicate the speed and success of “reality home renovations” seen on TV.

Comments (4)

Karen Anne Stone
New Home Hunters of Fort Worth and Tarrant County - Fort Worth, TX
Fort Worth Real Estate
Steve:  Actually, I think every single person is being affected in some way or another by the current housing slump.  Foreclosures, job loss, equity loss, there is such a ripple effect, that I don't know if anyone will be untouched.
Mar 25, 2008 05:30 PM
Bill Exeter
Exeter 1031 Exchange Services, LLC - San Diego, CA
1031 Tax-Deferred Exchange Expert

Karen,

I agree with you.  It has affected each of us in some way.  The key is that most of us have not panic'd.  The markets all come around and return to normal and then begin going backup again.  This is my third major downturn/cycle.  It is all about waiting it out.

Mar 25, 2008 05:33 PM
Steve Snyder
RPM Mortgage Walnut Creek - Walnut Creek, CA
I agree! When I went to buy some shipping boxes, the manager of the box store told me he has also been affected.  Less homes sold, less boxes for packing sold!
Mar 25, 2008 06:13 PM
Steve Snyder
RPM Mortgage Walnut Creek - Walnut Creek, CA
Bill - Thanks for piping in.   In another life, I have also been through 5 of these cycles.  The good news is that this too shall pass.  And we are in an election year.  Don;'t you think the incumbent party will try to do something to show the economy is increasing to stay in office?
Mar 27, 2008 04:58 AM