Thursday, September 13, 2007

REAL ESTATE MARKET IN TROUBLE??? It's just a matter of perspective!


Last Sunday, I was sitting in church listening to my pastor teach about how we should respond to trouble in our lives. He outlined 3 responses to trouble...REJOICE...REQUEST... RELAX. (You may be wondering how this relates to the real estate market. IF SO...give me a second, and I'll connect the dots!)

As I was listening intently (SEE...PASTOR DON...I DO LISTEN TO YOU!)...I could not help but think about how his message could be applied to the troubled times we are now facing in the world of real estate. These days, it seems that everyone is talking about interest rates and home values. You cannot leave your home without overhearing a conversation about how bad our market is now...about the latest bank or mortgage company that went out of business...about how hard it is get financing for a new home. People are worried...really worried...really, really worried.

Truthfully, the professionals in this industry are really worried also. I have close friends who are leaving the real estate business after ten successful years in business. I have another friend and business associate who was the top loan officer in his company last year. A few weeks ago, he walked into work one morning and learned that the company had gone under...without even a hint of warning. In one day, he went from the top of his profession to unemployed.

IS THE REAL ESTATE MARKET IN TROUBLE?

HOW WILL THIS TROUBLE IMPACT YOUR LIFE?

Isn't that really what you want to know..."HOW WILL THIS TROUBLE IMPACT ME?"

I'm so glad you asked!!!

The real estate market cycles...it always has...it always will. It has ups and downs...good times and bad. Right now...we are coming out of one of the strongest markets in history. In other words, we've had a 'good run of it'. In fact, it has been so good for so long that many of us have forgotten that what goes up must also come down. It is time for the market to adjust itself.

In my title, I say that 'It's just a matter of perspective!' (Back to Pastor Don's message...) Think about it...when the market is strong (as it has been for years now), the sellers are the ones who have the advantage. So...if a strong market is advantagious for sellers...it must be disadvantagious for buyers...RIGHT? IF that is true...then it must mean that a weaker market is advantagious for buyers.

IF YOU NEED TO BUY A HOME...THIS IS YOUR TIME! This is a buyers' market, and there is plenty of inventory from which to choose. Let me share a perfect example...

I have a client with whom I've been working for a long time. She is a first time home buyer utilizing some of the many financing options and assistance available exclusively to first time home buyers. We have been under contract for a townhome since the end of July. It was scheduled to close at the end of August, but the bank denied her loan. Instead of giving up, we sought another lender and learned that she was qualified...but for $9500 less than the contract price of the townhome. Knowing how much she wanted that townhome, I presented her situation to the listing agent and asked if the seller would be willing to accept $9500 less for the home. Miraculously, he agreed. We are now back on track to close in a few weeks. She will have $9500 instant equity at closing!!! For this client...THIS IS A GREAT TIME TO BUY A HOME!!!

Pastor Don ended his message with these words..."Problems in life are inevitable. Misery is optional. It is a matter of perspective." James 1:2 says, "...when troubles come, consider it an opportunity for great joy."

IF YOU ARE THINKING ABOUT SELLING YOUR HOME...THE NEWS IS NOT ALL BAD FOR YOU EITHER. COME BACK TOMORROW FOR PART TWO...FOR SELLERS ONLY!!!


OF COURSE, IF YOU ARE PLANNING TO BUY OR SELL...OR KNOW SOMEONE WHO IS...I KNOW A GREAT REALTOR®!!!


Contact:

Elizabeth Nieves, Broker REALTOR®

(919)749-3749


You can also visit my website at http://www.ElizabethNieves.com.

I'd love to hear your thoughts about my new search tools!


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