No impact of the credit-crunch on the local market?
The credit-crunch doesn't seem to have had a big impact on the local RE market. Seems like "life is still going on". I was guessing that we would see some immediate impact (eg: larger spike in inventory), expecially since the jumbo rates are quite higher now.
Comments
It's going to take months for this thing to unwind.
I'm waiting now for the music to finally stop in the flip-this-crapbox game down the street to see where the prices end up--one house I am watching:
Summer 2006: $995K (new)
Spring 2007: $1.1M (9 months old)
Spring 2008: ?????
2010 for the market to start declining or hit the bottom??
The MSM reports I've seen most frequently (CNN and the like) over the last month or two have been predicting housing will be in recession until 2010. I think that would imply a belief that it will bottom out in 2009 and start going up again in 2010.
Not that I put much stock into these reports, but usually if everybody believes something it's at least worth considering.
That said, I wouldn't be surprised if some markets see a prolonged downturn reaching well into the next decade. Incomes and other demographic trends don't look too good for a number of higher priced areas.