How much longer do you think the real estate market will decline?
Posted on March 31st, 2010 in Renting & Real Estate | 3 Comments »
Greg S asked:
I personally am guessing that next summer will see the lows of the real estate market, what do you think? (And I know we can't know for sure, just looking for your opinions and guesses)
California Real Estate
I personally am guessing that next summer will see the lows of the real estate market, what do you think? (And I know we can't know for sure, just looking for your opinions and guesses)
California Real Estate
3 Responses
West Los Angeles homes
Personally I think the downturn is going to last into the summer of 2009. Just guessing. But there is a huge glut of condos on the market in just about every city you visit and more under construction. A builder won;t abandon a project just because the market is low; they’ll keep building and add some incentives to get the properties sold. The glut of condos is and will continue to weaken the market for homes. So until they stop adding inventory to the market, I don’t see the slide stopping.
But that’s just my guess
Malibu Real Estate
well all the gloom and doom experts are actually saying years and years but in my area i think things should be back to normal after 1 or 2. god i hope anyone want to buy a 3yr old house in sunny south florida on acre and qtr of land? lol.
San Diego Property Management
This depends a great deal on where in the US you live and which segment of the market you are looking at.
The vacation and mid-high residential real estate in much of south Florida and Southern Cal are in deep trouble…it could be another 2-3 years before the excess construction is absorbed… On the other hand, the high end residential and commercial RE in NYC/Manh. still looks pretty good (as of last week)…fair to say it really hasn’t declined…yet…maybe it will not.
Generally, I think the big boom areas that saw new construction reach all time highs are likely in for a multi-year correction with some nasty surprises likely yet to come (circa early 1990’s Cali, late 1980’s Dallas/Texas).
The more general RE country wide madness depends a great deal on how bad the sub prime mess turns out and how much natural growth the area has to absorb the over-development….a year minimum, so to spring 2009.