Real Estate Glass Half Full No Matter What Sceptics Say
What do you think of a market that doubles in many areas and then gives 10–20 percent back? To some it is the coming Armegeddon to others it is a normal market. That is the lesson at an Atlanta real estate symposium held this weekend.
And when you think that credit has not really tightened as opposed to returning to it’s historic norms. We are just coming out of a period of reckless lending and the market is doing just what it is supposed to be doing.
Banks should not be rewarded for making bad loans just as homeowners should not be bailed out of them. Likewise, too much intervention by the government will raise the cost too high for good loans to be made. Again, markets may not be kind and benevolent, but they are effective.
“There are issues going on in America. There are issues going on here in Atlanta, GA,” said Floyd. “But look at it as ‘the glass is half full.’”
For borrowers with steady, documentable income and a good credit history, loans remain readily available and likely to contain attractive terms. Government incentives for first-time buyers also can help overcome many common barriers to home ownership, the panelists said.
“Although credit has tightened, there are still a lot of programs and products out there today that can get people into a home,” Floyd said. via the ajc.com.
Very funny comparison. However you don't need to pay property tax on Barbies 3 Story Dream House. With the unemployment ...
My wife has actually decided to study for and get her real eatate licence just so we dont ever have ...
I like your analogy in this article. The real estate economy really is like a patient who you cannot ...
Real Estate is hyper-local. Every market is different. Phoenix has already hit bottom and is starting to recover. We have ...
Great to hear that the big boys
are predicting recovery sooner than
most think.
Thanks for the value! 
I agree--good analogy. You have to crawl before you can walk. Right now, at least in Austin, many people would ...
I live in the Philippines and I am glad we are not on the lists... 
I have a few Litograghs of Presidents homes , made by Richard V. Sebring. yr. 1990 Do they have any ...
Comment by john on 20 January 2008:
I agree. I think investors realize what a great chance this is for them to grab properties in markets that are depressed but will rise in the years to come. And yes, interest rates are still low.
Comment by Chris Kubler on 20 January 2008:
Great opportunity for investors, yes! Great for low to moderate income homeowners? Maybe not. A 10% drop can be devastating to a homeowner who is using 90% to 100% leverage. The government’s goal is to make sure these people don’t suffer too much on the way down.
Comment by Sean Carr on 21 January 2008:
An amazing time for those invested in PUT options. As for realestate, its a good investment when CAP rates and ROI calculations say its a good investment. Only a realtor makes the argument that its a good investment simply because the assest is cheaper than it used to be.
Dont pay attention to whats happening with ABK and MBI, the glass is half full damn you!
Comment by Mike on 21 January 2008:
There are “Always” opportunities out there, regardless of the economic conditions. For those who keep their personal debt in line, work hard, and keep on plugging, the so called recession then becomes meaningless. It seems the over spenders and the lazy always whine the loudest, and complain the most about how horrible everything is. I suspect that 5 years from now, the same folks will still be whining about how unfair life is, and how it passed them by
Comment by ROpenHouse on 21 January 2008:
Great opportunity for those that have money to invest. Buyers who are 200-300 days on the market are eager to move on. Those that are serious about investing can really take advantage of the situation. The number of direct mailings, open house signs, flyers and even telemarketing phone calls has increased in my area by 10 fold over the last month. Unbelievable opportunity to strike while the iron is hot. I certainly am taking advantage of it.
– Open House