May you live in interesting times...
A curse and a blessing. I've noticed people re-ordering their priorities. Perhaps it's not about consumption.
Enough of that.
It seems to me that to do business today the buyer must perceive that they are getting more than a good value. Certainly true in Seattle area real estate and perhaps throughout most of our economic lives.
Mortgage interest rates at 4.5% to come??? I've heard it from a few usually reliable sources that this is what the powers-that-be intend for revitalizing the housing market. The ramifications of such a thing! The difference in carrying costs on a home would be such that even if the value were to decrease a bit more after purchasing, the buyer would still be ahead of the game as compared to buying the property for less at say, 7 or 8 % interest rates, which is the historical "par". Wow. Perhaps it will define a bottom of the market in some areas. Who knows?
Be forewarned that reading the future is not one of my skills, sad to say.
More to come.
Date: 2008-12-16 17:52:17