The bursting bubble sure has hit the mainstream now. Which, even though it's a day late and dollar short, actually does in some way hasten the end of the boom - as that nervousness in the back of minds of potential buyers and also all homeowners
Here's the equation: More listings + Less Buyers = Declining Prices = Worry = More Media Coverage = Panic = Many More Listings = Rapidly Declining Prices = Common Sense.
And away we go....
Are we nearing the end of those sky-rocketing real estate prices? The typical home in America has appreciated 55 percent since 2000. But many areas of the country saw even more dramatic appreciation than that. Now, there’s strong evidence that the record pace is starting to slow. Has the housing bubble has sprung a leak?
Nancy and Phil Marrone spent today cautiously going over new home listings, and doing a few walk-throughs in Northern New Jersey. They’re worried they’re buying just as the market turns south.
“You may invest in something that you like and then all of a sudden you can’t sell it for anywhere near what you paid for it,” says Phil Marrone. “It is a little scary.”
December 30, 2005
Posted by blogger at 12/30/2005