The Real Estate crisis has been one of the trigger elements of the 2008 financial crisis. Prices have already fallen by 50% in some U.S. cities. The depth and duration of this bear market is one of the worst ever. It is comparable with the bursting of the Japanese real estate bubble in the late 1980s. Please click here to discover the March BFM newsletter that shows many charts and a bullish view of the housing market.
While home prices may bottom in 2012-2013, future home-price appreciation is likely to be modest, at best, for the foreseeable future, based on still-high foreclosure rates, unsold home inventories, and still-tight credit standard.
If you want to learn more about the bearish view on real estate and see some data and charts, please contact us. In summary housing prices went down and housing demand has been very limited due to the combination of:
Let’s not forget that the real estate market is a very local market. BFM can help you decide if the price is right thanks to our proprietary real estate valuation model. Don’t hesitate to contact us!
I hope you will find this report both informative and insightful. BFM can offer more information depending on client's needs. BFM can solve a specific problem or provide a personalized service.
Thanks to the 500+ of you who have read the Best of BFM Newsletter (click here), which summarizes the newsletters you enjoyed most in the last two years. By now, you should have uncovered that financial decisions are not only driven by rationality but they are also strongly influenced by emotions. You also found out that your vision can literally “trick” you whenever it can (click here)!
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