Friday, January 25, 2008

What's Next?

I am probably like a lot of folks. I get out of bed and wrestle with getting my kids off to school and head in to the office.

What seems different these days is there is always a new piece of information that is supposed to determine where the real estate market is headed.

  • Today it was reporting; U.S. Economy: Existing Home Sales Fall, Prices Drop, 2007 provided us with "the biggest annual slump in 25 years and the first decline in prices since the Great Depression."

  • Yesterday it was Inman News reporting; The Bush administration appears willing to go along with an agreement by House Democrats and Republicans to boost the conforming loan limit.

  • Tuesday it was Fed Cuts Interest Rates by 75 Bps

I could continue to go on and on and every day there is a new prediction on what is going to happen. Some say more gloom and doom, others are saying now is a good time to buy.

Here is my reality, our orders are up over December and they are as good as they have been since July of 2007. All of this is going on and we haven't even finished January yet.

This year is going to be a good year for the Real Estate Business in Santa Barbara. The sub prime issues of months past have created pent up demand. Interest rates are about as low as we've seen in years and there is the possibility of another rate cute soon. Get Ready, folks we are going to get busy.

No comments: