After almost a year of declining home prices, incredible buyer incentives on home purchases, and for the most part, stable or falling mortgage interest rates, we still have large inventories, pent up buyer demand, and not appreciable movement in the market. Buyers are not taking advantage of a buyers market.
Due to the lackluster activity, if not buyer apathy, we have thrown the entire US economy in a tailspin, where every industry and trade associated with home building is suffering. Unemployment continues to rise, and businesses that once supplied the industry are in deep trouble, some already closed.
The public, the average consumer, particularly those that are in the market for a home, must realize they are the only force that is going to lead us out of this recession. It's the way it's always been, since WWII. When we stop buying what our neighbor is making or selling, we risk depression. Many think the longer they wait, the better the deal they will get. Wrong!! Unless you have a crystal ball, catching any market at the bottom of its curve is difficult for the professional speculator, much less the average homebuyer.
The reality is that the longer you wait, the more costly your purchase is likely to be. An increase of .5% in mortgage interest rates can equate to several thousand dollors in a homes comparable purchase price. Let's all hope that buyers will soon get off the fence and start the recovery of the real estate markets, and all the jobs, income, and purchasing power it creates for other businesses, like cars.
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