Interesting
http://www.realtor.com/news/trends/h...s-blogs_trends
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I believe the biggest problem facing the housing markets [[plural) is the lack of available resale houses which has been mentioned in other threads, which are good quality, desirable, etc.Quote:
Originally Posted by DetBill
Some of this is on the builders. They seem to want to shoot for the moon [[big profits) by building houses which are too big, too expensive, but very profitable for them to build.
For a housing market [[like car market which is both a new/used car market) to function well, there needs to be a good supply of new housing at prices the market can easily bear. People moving into these new houses free up their existing houses for someone else to buy.
My guess: Show me a housing market with a lot of new construction and we'll see a hot real estate market of selling used homes too.
Next week they will be saying to buy now because the prices are only going up.
They are not factoring in the hundreds of millions in properties that the hedge funds are sitting on that they bought from Freddy and Fannie,now their stock is stagnant and what happens when they start dumping as they soon will.Media pump and dump.
Big money is now divesting residential and switching to commercial.I think that the average move in ready house within the city of Detroit would need to be at least in the 100k range before it becomes feasible to start building new single family homes,I can see the feasibility maybe, in some highly desirable areas,of new SF infill by small independent builders but still a bit off for large scale.