Direction of the Real Estate Market

One of the most frequently asked questions posed by potental buyers or sellers or interested members of the community is "What s happening in the Real Estate Market? As most of us are aware,there has been a downturn in the Real Estate Market.There reason are varied and can be attributed to a number of factors.Real estate has always been subject to the ups and downs in the broader economic market.These factors include the employment rate interest rates changing demographics and a number of other related factors.The two most important factors that relate to real estate sales is employment and interest rates and all three are closely related.Lending institutions have been perhaps too loose in some of their lending practices and have trightened their lending standards and the employment rate has changed significantly over the last three years.Housing prices have taken a major decline from a spike in prices.As a result we nave seen a major correction in the real estate market.
There is a matter of some discussion regarding if we have reached the bottom of real estate prices and the direction of the real estate market.There are indications that lending instutions are becoming more flexible with their lending practices and employment is on the rise.Interest rates are at a near record lows but rising and there is a high level of distressed properties.These factors plus the employment figures weigh heavily upon the direction of the real estate market.The direction of the real estate market depends greatly from region to region and varies greatly from community to community.There is not a set answer for the entire nation and must be viewed on a locale basis and looking at the historical perspective.