There is a lot of talk

By
Real Estate Agent with Long & Foster Real Estate Inc 610-225-7400 PA License - AB067198

In our 24 hour a day news cycle there is a lot of talk about just about everything. I learnt a long time ago to limit what I listen to and who I listen to as well. Making sure I read both sides of a story.

There is a lot of talk about recession, inverted yield curves, past history, etc. But there is little talk about how things are also different as well. History says that over a period of time there are going to be adjustments. Be that in the stock market, real estate or just about any other market you study.

We have been hearing for years that interest rates are going to rise, in fact in many countries around the world interest rates are currently in negative territory, it actually costs you money to have your money in the bank. So, what we hear is not always what comes to pass as we currently are going through a period where interest rates have dropped again and manypeoplewho missed the opportunity to refinance because of lower home values are taking advantage now.

Several mortgage professionals are asking agents to insert longer settlement dates because it is taking longer to clear loans because of the increased demand for refinances.

House

We have been seeing for the past two years a real shortage of homes for sale at almost every price point. We have also seen a demand for homes from buyers, this has caused prices to rise, and values of homes to rise overall. This situation does not seem to be changing. Land is scarce in many areas and so new homes are expensive to build and thus are priced accordingly as well as the land itself is expensive to acquire. Builders and investors are currently building lots of apartment building for rent, rather than homes for sale. 

Will the "recession" when it comes affect real estate? Probably in some markets and at some price points, yes. Overall, probably not so much as in every market people are moving, for jobs, because of family events, deaths, marriages and births. This is not going to change, so if you are thinking of selling for one of these reasons, don't worry, there will be buyers out there who want to purchase. And if you are going to purchase, then clean up your credit and get ready as the market is still going to be active and you will still be competing with other buyers out there.

 

Posted by

If you are buying or selling on or around Tredyffrin Easttown or along the Main Line we can help you,  contact us or connect

  Twitter link  Linked in linkl our blog RSS feed of MainLineHomes Blog

Feel free to subscribe to our blog to stay up to date with our latest posts and information on the Tredyffrin Easttown and Main Line Real Estate Market. 

 

close

Re-Blogged 1 time:

Re-Blogged By Re-Blogged At
  1. Ginger Harper 09/16/2019 11:07 AM
Topic:
Real Estate General Information
Groups:
Chester County, PA
Delaware County, PA
Montgomery County, PA
Tags:
nick vandekar
tredyffrin easttown realtor

Spam prevention
Show All Comments
Rainmaker
784,073
Nick Vandekar, 610-203-4543
Long & Foster Real Estate Inc 610-225-7400 - Devon, PA
Tredyffrin Easttown Realtor, Philly Main Line

Dorie Dillard CRS GRI ABR thank you so much, really appreciate the comment and the thoughtfulness.

Sep 16, 2019 06:22 AM #29
Rainmaker
157,073
Eva B. Liland Century 21 Doug Anderson
Century 21 Doug Anderson - Lancaster, CA
Glad to be of Service 661-714-1643

Still going strong in the Antelope Valley, California where there is plenty of land and several new housing tracts being built currently.

Sep 16, 2019 07:03 AM #30
Ambassador
895,781
John Meussner
Mason-McDuffie Mortgage, Conventional Loans, Jumbo Loans, FHA, 203(k), USDA, VA, - Walnut Creek, CA
#MortgageMadeEasy Walnut Creek, CA 484-680-4852

Good points on housing Nick - supply isn't nearly in line with demand, and historically recessions pass with housing doing fairly well (very well compared to other investments).  I think this time around, even in a recession, housing will perform well until and unless supply can catch up.

Sep 16, 2019 10:39 AM #31
Rainmaker
441,707
Tom Bailey
Margaret Rudd & Associates Inc. - Oak Island, NC

I always try to remember my dad’s favorite line “ don’t worry about the mule going blind, just load the wagon”!

Sep 16, 2019 10:40 AM #32
Ambassador
2,877,495
Anna Banana Kruchten - Phoenix Homes Sales
Phoenix Property Shoppe - Phoenix, AZ
603-380-4886

Nick Vandekar, 610-203-4543 I so agree, vastly different economic factors going on now vs 08 - vastly differnt numbers and facts.  I like your common sense approach to talking about the subject, well done!

Sep 16, 2019 10:57 AM #33
Rainmaker
15,912
Danny Skelly
Orson Hill Realty - Evergreen, CO
Luxury Real Estate Company

I have noticed the same thing recently. I am not sure if it is really something to actually worry about or if this is just the main stream media gitting a jump on the election. I haven't seen much of a slowdown in the real estate market here around Denver. Not as crazy as the last couple years but still pretty healthy. I was reading an article earier today about Ron Paul and his view of the bond market bubble. He is kind of a "sky is falling" fort of guy sometimes but he does know the Fed.

Sep 16, 2019 11:04 AM #34
Rainmaker
349,586
Brenda J. Andrew
ULTIMA REAL ESTATE - Corpus Christi, TX
Professional Realtor in Corpus Christi, TX

Good morning Nick.  There is definitely a lot of talk about all kinds of things, some things that are just trying to put a scare on the market.  In our area, things are going very well, lots of jobs coming to the area, and lots of people looking to purchase.  Sellers still need to be priced right, and interest rates are still at all time lows.  It is a great time for buyers and sellers to come together.  The talk will be out there, but each person needs to see for themselves what is going on in their particular areas.  Thanks for sharing this one!  Have a great day!

Sep 16, 2019 11:11 AM #35
Rainmaker
784,073
Nick Vandekar, 610-203-4543
Long & Foster Real Estate Inc 610-225-7400 - Devon, PA
Tredyffrin Easttown Realtor, Philly Main Line

Scott Godzyk sorry did not see your comment till now, I gave up news a long time ago, scan the headlines and read if something important, but otherwise just keep on keeping on.

Michael J. Perry well that of course might change, as the world seems to be in a topsy turvy sort of place right now, but i cannot worry about things which are not happening today, right now.

Eva B. Liland with Century 21 Doug Anderson although we keep saying we have no land, builders still seems to find tracts and sell out quickly in our area.

John Meussner I think so, and it looks like it will be a while till supply catches up, there are lots of apartments being built but not many single family homes.

Tom Bailey I like that line, your Dad was a wise man.

 

Sep 16, 2019 11:35 AM #36
Rainmaker
784,073
Nick Vandekar, 610-203-4543
Long & Foster Real Estate Inc 610-225-7400 - Devon, PA
Tredyffrin Easttown Realtor, Philly Main Line

Anna Banana Kruchten CRB, CRS 602-380-4886 whatever is being said we can only deal with what is actually happening right now. I don't get paid to pontificate, wish I did, so I have to advise my cleints on what is actually happening right now.

All these people talk because they like the sound of their own voices, maybe they should ask more questions about what the everyday man wants rather than constantly telling us what is going to happen Danny Skelly 

Brenda J. Andrew that is very true, everybody has to make their own mind up if this is the right time for them to buy or sell or both. Only they can know, not any TV pundit.

Sep 16, 2019 11:39 AM #37
Ambassador
912,192
Lynn B. Friedman
Atlanta Homes ODAT Realty Call/Text 404-939-2727 Buckhead - Midtown - Westside -- and more ... - Atlanta, GA
Concierge Service for Our Atlanta Sellers & Buyers

Nick Vandekar, 610-203-4543 
Common Sense -- thanks for the positive post! Lynn

Sep 16, 2019 12:09 PM #38
Rainmaker
3,202,452
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

Hello Nick,  It is always amazing what is being talk about all the time, from the past trends to futures trends.  Good feature.

Sep 16, 2019 12:18 PM #39
Rainer
479,464
Kimo Jarrett
WikiWiki Realty - Huntington Beach, CA
Pro Lifestyle Solutions

The doom and gloom pundits are using talking points from the MSM, aka FAKE News. Meanwhile, intelligent citizens unlike those morons completely examine all of the facts before making any assumptions about the future of the economy. 

Look up and see the clouds, it looks like it's going to rain but doesn't and that's why meteorologists who predict the weather are seldom believed.  

Sep 17, 2019 02:23 AM #40
Rainmaker
2,036,474
Patricia Feager, MBA, CRS, GRI,MRP
DFW FINE PROPERTIES - Fort Worth, TX
Selling Homes Changing Lives

Good Morning, Nick Vandekar, 610-203-4543 - Congratulations on your well-deserved FEATURE! The content for this post is well thought out and spot-on! The information can be applied to almost any place here in the United States and your historical perspective is good, old-fashioned common sense. Situations vary and we live in a society where people are always on the move for many personal reasons. 

Well done!!! 

Sep 17, 2019 04:26 AM #41
Rainmaker
784,073
Nick Vandekar, 610-203-4543
Long & Foster Real Estate Inc 610-225-7400 - Devon, PA
Tredyffrin Easttown Realtor, Philly Main Line

Lynn B. Friedman thank you for reading and commentint, appreciate it.

Will Hamm thank you, appreciate the comment. Glad to hear you have been visiting the Maxwells and supporting them.

Kimo Jarrett very true about meterologists, mindyou I think American ones are better than the British ones, although they can say whatever in the UK and probably be right sometime in the day.

Patricia Feager, MBA, CRS, GRI,MRP thank you, you are always so kind and complimentary.

Sep 17, 2019 04:45 AM #42
Ambassador
1,648,745
Alan May
Jameson Sotheby's International Realty - Evanston, IL
Helping you find your way home.

the whole concept of "paying" to keep your money in the bank sounds so foreign to me... I wonder why they don't take their money out of the bank at that point?

Sep 17, 2019 05:28 AM #43
Rainmaker
1,235,421
Sheri Sperry - MCNE®
Coldwell Banker Residential Brokerage - Sedona, AZ
(928) 274-7355 ~ YOUR Solutions REALTOR®

Congrats Nick Vandekar, 610-203-4543 - on the gold star!  I think your analysis is pretty spot on.  Each market is local but overall I think most people will agree with it.  

So, this begs the question, why is the media telling us that the sky is falling and we are in for doom and gloom? I have my opinion, what is yours?

Sep 17, 2019 06:33 AM #44
Rainmaker
784,073
Nick Vandekar, 610-203-4543
Long & Foster Real Estate Inc 610-225-7400 - Devon, PA
Tredyffrin Easttown Realtor, Philly Main Line

Alan May interesting isn't it, but I remember growing up that banks routinely charged you a fee for having an account. If there are no other easy alternatives then people will do what they always have and leave it in the bank.

Sheri Sperry - MCNE® as I mentioned above, I think so much of this is driven by the 24 hours news cycle, but also there are many people who are just completely confused with what all the financial signals are indicating. So, what makes news but disaster, so let's talk about disaster first.

Sep 17, 2019 07:04 AM #45
Rainmaker
1,697,137
Lise Howe
Keller Williams Capital Properties - Washington, DC
Assoc. Broker and Attorney Licensed in DC, MD, VA,

a very rational response to a very emotional subject - the pundits are determined to drive us to a recession and leave us there

Sep 17, 2019 08:06 AM #46
Rainmaker
784,073
Nick Vandekar, 610-203-4543
Long & Foster Real Estate Inc 610-225-7400 - Devon, PA
Tredyffrin Easttown Realtor, Philly Main Line

Lise Howe thank you for your compliment. Yes, I think those on these shows have to say the sky is falling so you will come back. I always notice how when the stock market goes down it drops, or crashes, however small the movement. But rarely do we get big increases reported as leaps or bounds...

Sep 17, 2019 10:41 AM #47
Rainer
16,646
RE Virtual Solutions
RE Virtual Solutions - Saint Charles, MO
Virtually helping real estate professionals.

Hi Nick. Very insightful and spot on.

Sep 17, 2019 02:38 PM #48
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainmaker
784,073

Nick Vandekar, 610-203-4543

Tredyffrin Easttown Realtor, Philly Main Line
Want to know more or have a question?
*
*
*
*
Spam prevention

Additional Information