What They Don’t Tell You – Real Estate Market Trends

Everyone has an opinion about residential real estate market trends. Most predictions have merit, while some of them are just a shot in the dark. The focus tends to be on the volatility of housing prices, predictions on how long the mortgage lending rates will remain at record lows, and the influx of Millennial home buyers. All the while you are bombarded with across the board forecasts by economists and analysts predicting how the market will be affected in the coming years.

Many real estate forecasts don't always reflect both short term and long term market conditions. The focus is often current trends of whether the real estate market is up or down, the difficulty of home owners trying to sell, and home buyers trying to qualify for and afford loans. Through it all, you will always have families that are struggling "to make ends meet", investors who are eating up supply, and real estate agents who are trying to cater to everyone's needs.

Those buyers who were suckered into those misleading mortgages thought they would be okay making minimum payments since that worked before, but weren't actually told that they weren't paying off the interest. Unfortunately this happened to a lot of people, causing them to go into extreme debt. Those low mortgage rates that the banks rolled out had people buying all over the place. When many home owners weren't able to make their monthly mortgage payments, bankruptcy and the housing crisis happened. Of course there were a lot of other factors contributing to the housing crash, but one thing we need to be careful of is not making the same mistakes again.