housing market predictions

Forecast housing market Real Estate Today's conference

Web Collins, Executive Vice President of CBRE New England and the CBRE senior evaluator in the world, Loren Keim, Century 21 broker and successful author, and Dr. Stephen Thode, director of the Goodman Center for Real Estate were among Keynote speakers at the event.

A real estate broker and author, Loren Keim, gave its annual forecast actual housing market on Monday at the conference real estate held today at Lehigh University in Bethlehem, Pennsylvania. Keim describes the market decline from 2006 to 2009 and noted that the number of homes sold in most countries has not been lower since 1997, more than 10 years.

There is a ray of hope, however. This year, he predicted, will mark the end of the fall. The number of homes sold in the first quarter of 2009 was significantly less than the first quarter of 2008. Keim believes that the number of home sales in 2009 will end the year 25% to 35% below 2008 but housing prices stabilize.

Keim, the author of the bestseller "How to sell your home in any market "and the president of Century 21 Keim, said:" Although unemployment continue to rise and credit continue to tighten, there is a effect of the rubber band on the market. Housing prices have declined significantly, interest rates at historic low, and affordability index is the highest status in years, meaning more people to qualify again to buy an average home in the region. "

"When added to these trends, the fact that buyers who purchase once the first house in the coming months can receive a $ 8,000 check to the Government and may buy a house for a lower monthly payment for rent, adding shapes a renewed interest in the property market.

When pressed on whether the housing market is recover quickly, Keim said, "It will be a slow and steady. I think we'll see the bottom of the local residential market in the fall, but do not expect Sales booming for several years. Prices also will take some time to come back, because the housing market is supply and demand market. A large amount of inventory to be absorbed before prices can rise substantially. However, interest rates too low, and the possibility that increased market-based long-term bond, now is the time to make the first offers. "

Dr. Stephen Thode, director of the Goodman Center for Real Estate Studies Lehigh University, also believes the market. Dr. Thode examples shown lower prices across the country. In Salinas, California, had sold a house at the peak of the market for $ 628,000. This same house is now worth only $ 275,000. Dr. Thode also illustrates how the majority of seizures are not lending high risk, but borrowers who took credit lines, second mortgages and home loans at variable rates.

Thode has determined that concreting remains a problem in some markets, but manufacturers continue to make slow inventory ultimately, help rebalance the market. "

Web Collins, Executive Vice President of CBRE CBRE New England and senior adviser in the world, reviewed the effects of economic collapse and the credit crunch. "If We can release the funds, we will continue to fall into recession. debt will be frozen.

To punctuate his point, Collins uses an example of an office building in Boston, that the market value of $ 50 million. The homeowner, with impeccable credit and letters of credit, applied to 31 lenders for a loan of 25 million and was rejected by all. Whether or not the housing market begins to recover, commercial sales will be hampered by the lack of available funding.

Other presentations were made by Sandra Holsonback, director of the Center to develop small businesses, Kerry Wrobel, President LVIP, and Peter Snik, Vice President of Lafayette Ambassador Bank.