Economic Considerations – How Gas Prices Could Effect Real Estate Here we go again with rising gas prices which may be one of the biggest challenges that the US economy will face in 2012. Due to continuing turmoil in the Middle East, especially with sanctions against Iran for its nuclear program and political problems in […]
Third Quarter Seller’s Report
After several years of price declines in real estate caused by The Housing Bubble and Great Economic Recession, there are still many sellers that believe that prices will rebound. Although this could happen, there are compelling reasons that point to this being unlikely in the near future. As of the end of the 3rd quarter, […]
Economic Considerations- Economic Update: Understanding the Budget Control Act of 2011
In a press conference over three weeks ago on July 14th, of this year, Standard and Poor’s, one of the three major credit rating agencies, warned that if the U.S. wanted to keep its “AAA” credit rating, Congress and the Administration would have to agree to trim at least $4 trillion from the present $15 […]
Economic Consideration- Stock Market and Sleeping at Night
For over two years now investors have taken advantage of a down cycle by migrating to the Stock Market. Timing has been ideal with the Dow increasing by 87% from a March, 2007 low of near 6,500 to a high in April of around 12,000 by April of 2009. Now, with the Dow dropping […]
Economic Considerations- US Credit Downgrade Won’t Drop Housing Pricing
The recent agreement reached by both parties in Congress, and the Administration, wasn’t sufficient for U.S. credit to avoid being downgraded by S&P’s credit rating agency from the triple-A rating it had for 70 years to double-A plus. The two other credit rating agencies also reacted negatively with Fitch putting the U.S. triple-A credit rating […]
Economic Considerations: 7 Days to The New D-Day (Or Deficit Spending Deadline Day)
Well, here we are close to one of the riskiest financial days in U.S. history, and it’s still business as usual for the Congress and the President. With only 7 days left before the U.S. Government won’t be able to officially pay all of its bills, our illustrious leaders still can’t agree on a […]
Economic Considerations Impacting Buyers
Most buyers are aware of the fact that good news can have an adverse impact on their ability to get a great “deal” on a home. The same news that may reassure buyers that it’s time to move forward with a purchase, can reinforce seller’s belief that a recovery is just around the corner. This […]
Economic Considerations: Distressed Property Update
The “Not So” fun facts about Distressed Property According to the Mortgage Bankers Association, mortgage delinquencies are unchanged in the past year. 8.1% of all mortgages, of 4.2 million homes, are either seriously delinquent or in foreclosure. According to the National Association of Realtors there are approximately 3.5 million homes presently available for sale. […]
Economic Considerations- Will a Jinx in June Lead to More Pain for Sellers?
Recent buying activity in housing and an improving economy have lulled some Sellers into a false sense of security. Although there are many signs of a better market ahead, Sellers are advised to be skeptical as they consider Buyer Offers. An increase in pending sales, a reduction in unemployment, and the improvement in […]
The QE2 Update – Between a Rock and a Hard Place
The QE2 Update – Between a Rock and a Hard Place Most of us know that the Fed can create an “Artificial Economy”, or prop the economy up by: Keeping the Fed Fund Rate low- (close to zero now). Pouring money into the economy to keep liquidity high. The Fed hopes that by using […]