How Low Will It Go?

A few weeks back, we speculated about how much farther the real estate market will adjust before hitting bottom. At the time, we felt the market was more or less bouncing along the bottom due to the upheaval in the mortgage industry and numerous price reductions of active listings.

More evidence that we are potentially close to the bottom continues to make itself known. New properties that are listed for sale are in line with what the market is bearing. We are seeing fewer if any, overpriced listings go on the market. Properties priced right, are indeed selling.

Many sellers are now taking their homes off the market and not making further price reductions. Other sellers are putting year round renters in their properties to hold the investment until this cycle ends.

It will be interesting to see what will happen in the coming months. The stock market activity will have an impact on all of us in one form or another. We'll have to see how this plays out.