will the real estate market in the US suffer a price adjustment? Explain...?
404779
Real estate markets vary state to state as taxes .Real estate usually raises and I really don't see the past history doing other wise.Banks are now raising rates .We had a nice rate on real estate loans for awhile.Now people are slowing down buying and rates are going up again.
1038484
I think they will be getting worse because the market is softening.  its getting tough and agents will do what they have to do to survive.  I was doing an open house and an agent was trying to show off in front of  his client and made unprofessional statements regarding the lack of amenities in the house  that i was doing the open house at.  he said his listing which was next door would sell before mine.  he was trying to look good in front of his client.  in my opinion he just looked stupid.
740413
The answer, with a few exceptions, is always "yesterday".  Prices have fallen a bit after a long runup, but will no doubt rise again in the future -- but there is no way to tell just when.  Start your shopping by looking at properties via a website such as realtor.com.
828184
It will depend on the price. If it's over couple of millions, then you should expect a lower commission than normal 6%. I am an agent in the San Fernando Valley area in Los Angeles. If you want, we can get together or talk about your property over the telephone. The important things that any Realtor and buyer will want to know is the number  and type (1+1, 2+1, etc) of units in the buiding, gross rental income from apartments, approximate utility expenses and taxes.
676091
A bear equity market?  There have been a couple of down days of late, but nothing persistent enough to push us below where we were 12 months ago.  You can't begin to talk about a bear until one or more of the major indexes are down versus where they were 12 months ago.  Not saying the market is great, but use of the word bear is not (yet) appropriate.\n\nA bigger worry to me is the cracks appearing in the real estate market.  \n\nIf we get a real estate bear market, or even if it simply goes flat, does it spill over affecting the general economy, which in turn would hurt the equity market?\n\nAnd what if gasoline prices hits $4.00 a gallon?  That takes a lot of money out of people's wallets without giving back much in the way of job creation.\n\nAs always, there are some issues to be concerned about.
257397
Now is getting to be the perfect time to buy and hold. We just came out of a huge sellers market. Prices are not skyrocketing like we saw last year, and it is taking a lot longer for real estate to sell.\n\nNow is the perfect time to buy, interest rates are on the rise which really brings in a lot less buying competition, sooner or later interest rates will fall again, you can refinance and you will look like a genius, buying when everyone else was selling.\n\nBUY and HOLD, best wishes!!!
330659
A 50% decline in home values would be unrealistic for the overall market even with a deep recession in effect. Historically around 10-15% has been the -maximum-  depreciation  rate (aggregated over several years) for average national/regional home prices. \n\nFor potential buyers, the good news is that California is easily the most overpriced market in the U.S. and does have a recent history of rapid, long term and most significant declines in prices.  The trick is that 30-40% drops from the peak have definitely been recorded over a 5 year period for very specific zip codes in Southern California during the early 1990's. Be forewarned that this only occurred for only a few homes even in those areas so you have to look hard for them.  \n\nHistorically, long term (last 60 years or so) home prices have risen annualized at an average rate of 3-5% per year. The reason home prices have never dropped more than they have risen even in the worst of times is that owners can simply just take their homes off the market if they feel the prices are too low as long as they can afforf the mortgage payments.  In California, however, many people tend to live beyond their means financially and tend to buy homes that are too expensive for them to afford in the first place, quite a few home owners in California may not have the option to wait out a selling price drop because they may need the cash desperately, so they drop the price severely to get out of an unaffordable mortgage.
463182
That depends a lot on where you want to live.  Here in Southern CA, I don't think it will.  First of all, LA & San Diego are slowing due to the latest fed hike in interest rates.  But, because the demand is so much larger than the supply, the pressure for new, affordable homes is still strong.  Unfortunately, with the median price of a home at around $550,000, the income necessary to support monthly mortgage payments is above what most in the middle class make right now.  \n\nBut, you are starting to see some slowing and stagnation in less desirable markets.  That is where "the bubble" will burst, first.  Places like Cleveland, Louisville, Nashville, St. Louis, etc.  Watch as the interest rates go up, more houses will dump on the market because people with variable rates cannot afford the increases monthly.
563064
real estate goes in a 10 yr cycle, so I believe we should expect to see a steady climb in interest rates, especially with the weak dollar. \n\nRegards...
1006129
Housing prices in Los Angeles County as of May were still rising, but at a much slower rate than in previous periods.  In most other parts of Southern California, housing costs are either flat or are beginning to drop (most notably Riverside, San Bernardino and San Diego counties).  In other parts of the country, housing is starting to decline.\n\nI believe that in LA County housing prices will follow the rest of the country and decline for awhile.  Unfortunately, much of that decline will be triggered by rising interest rates.  So you have to ask yourself: do you want your payments to go into a house that is declining in value, or to interest payments to the bank?\n\nLong term, it doesn't matter when you buy.  Housing will always rise long term.  Many people who bought during the housing boom in the early 90s in LA County were downside for years after the bubble burst in 1991-1992.  The decline bottomed out about 1997 and many people had recovered their losses and were in the black by 2000.  People who held on through 2005 make a killing.  If you're planning to stay for a long time, buy now.  You'll be able to enjoy your new home longer.\n\nIf you're planning to stay a short time and perhaps move to a bigger house in a few years, wait awhile.  Once you buy, you can't negotiate a lower price for the house, but you can always refinance your mortgage if interest rates decline.
142606
It is said that the hotest real estate markets may go through a little pullback but that most locations might be ok. So if you believe this then no.\n\nThat cooling off was due to some december housing starts statistics, which actually drastically increased in Jan. The reason may be that the extra cold december shrunk the number and pent up demand plus the extra warm jan made it balloon to its highest level in 30 years. If you believe that then yes.\n\nBottom line is if you can buy a home for a price you can afford and will be there a while and are happy with it then do it, even if the market cools off you will be fine. If it is an investment, then make sure it will have a positive cash flow after all expenses. If you have a positive cash flow and the nmarket cools you can always hold it until it comes back without any trouble.\n\nIf those are not true for you then you probably shouldn't.
1011680
Keep in mind...........\n\nTimes and markets are changing!\n\nIn California with average homes selling well over $500,000, a 20% decline is $100,000! In any market 'timing is everything'! So, could you afford a loss of 25% of your investment all because of poor timing???\n\nThis last up cycle was 10 years in many parts of the country. The downcycle now started in CA, Wash DC, NYC, Vegas and other hot areas of the past are all soft and getting softer.\n\nFrom 1990 to 1996, the average home in San Diego lost 20% of its' value! The cycle we are now enterng looks like it could well exceed that on the downside!\n\nWith all the 100% financing, interest only loans, EZ qualifing etc...even a slight decline will cause many to be unable to sell for the amount due on their loans!\n\nFor some great 'insider' articles on the San Diego real estate market, which I believe will apply to any of the hot real estate markets of the past five years.....visit:\n\nhttp://www.downtown-san-diego-real-estate.com/san-diego-real-estate-article-index.htm\nhttp://www.brokerforyou.com\nhttp://www.san-diego-for-sale-by-owner.com\nhttp://www.la-jolla-ca-del-mar-san-diego-real-estate-encinitas-california.us\nhttp://www.brokerforyou.com/blogger/index.html\nhttp://san-diego-coastal-real-estate.blogspot.com\nhttp://sandiegofsbo.blogspot.com\nhttp://downtown-san-diego-real-estate-views.blogspot.com
1055964
Hi there\n\nThat is a tough question, no one can give you an exact and correct answer.\n\nHouse price inflation has and will continue to fluctuate, the future increases are always a matter of debate.\n\nYou need to consider local factors, such as will there be any new infrastructure enhancements - positive or negative - that will affect local prices?\n\nTaking a personal view i would see house price inflation slowing through this year and next, close to zero in years 3 and 4, and then starting to pick up again.  \n\nIf we assume 5% this year, 3% in yr 2, 1% in yr 3 and 4, 5% in yr 5, then the total increase would be about 16%, e.g. the house would be worth about £116,000.\n\nAs I say, this is a personal view, and you also need to take account of local factors as mentioned above.\n\nI hope this helps.
808498
There won't be a crash, too many people want property as its the only real investment these days.  You should get on the ladder now before prices go up again.
43091
I doubt that it will be that serious. First of all, most people will not be impacted. The majority of loans made in the past few years were still 30 year fixed rate loans and most buyers made down payments. The small portion of buyers who were speculating and cannot carry the payments long-term will become foreclosures. Yes, those foreclosures will drive prices down in the areas where they happen, but not everyone has to sell. Only those sellers who are in a position where they have to sell will be impacted. Long term holders of real estate will continue to make payments and will not be impacted. If a property's value drops down below loan value there is no requirement that people will have to "come up with the difference" as you put it, unless they are forced to sell. The most likely bunch of investors that will be negatively impacted are the ones that actually follow the advice of "real estate gurus" that preach the no money down, flipping, and similar deals. I don't think they are a significant part of the market and will be glad to be rid of them for awhile. \n\nThe lenders are not stupid. They do expect some impact in places like California and Florida and are taking steps to spread their risk. Many markets are counter-cyclical and have not experienced any part of the bubble you are afraid of, so lenders are spreading their portfolio risk by lending in various markets. Texas is a good example, where appreciation has been low in single digits. \n\nReal estate markets are micromarkets, and do not behave like stocks. As any agent will tell you, location, location, and location are the keys to real estate. Good locations will mostly continue to be good locations in most cities. People will still like living in California and Florida (although the hurricane risk there makes me question their sanity). Much of the money driving the boom in these areas is foreign money. Few people realize that since the dollar has dropped almost 30% that non-US investors have been buying what they see as bargain property. After all, it is 30% cheaper than it was before for them. Many of these investors pay all cash. They will not be impacted by falling values. Unless the dollar recovers value, that money will continue to flow in. \n\nI've been through two real estate reversals, once in the early 1980's when mortgage rates actually went to 19%, and another in the early 1990's when real estate values dropped about ten to twenty percent in some markets. There was a crash in commercial real estate in the late eighties created by the Reagan administration changing the lending regulations at the same time they increased the reserve requirements for banks that led to the savings and loan bailout. That was coupled with a change in real estate depreciation laws, but this mostly impacted commercial properties (and taxpayers who paid for the bailout). Most people's lives are barely impacted by falling real estate values. Like I said the only ones that will notice are the ones that are forced to sell for some reason other than falling real estate values. \n\nBy the way, I own KBH and have made more money off of it in the form of dividends and stock payouts than I initially invested back in the 1970's. The stock has split so many times I have lost count. The stock can go to $1 and I will still show a profit.
253236
These rates aren't very high compared to the 80's when there double digits. I think they will climb to around 8% or so. The constent slow down of the real estate market will result in over supply with less demand. Maybe in order to increase purchases at the present higher than they ought to be prices the Feds will lower the interest rates to seduce buying.
976018
It depends where in jersey.  Condos on the waterfront are going up in price, not down.\n\nI do closings in jersey, and the market for regular homes has slowed, but prices in general are not making any drastic drops just yet.  I agree that a few months in most of jersey won't make much (if any) difference at all.