| The media was hyping the burst of the "real | | | | or decline, will happen. |
| estate bubble" for a few years before we saw | | | | That doesn't mean that there are only two ways |
| the actual decline. Although all real estate markets | | | | to go, skyrocketing or plummeting. There is a |
| go at their own pace, 2006 saw a general decline | | | | middle ground, and this middle ground will happen |
| in real estate value and number of homes sold | | | | quickly also. Obviously we can't tell the future but |
| throughout the United States. Due to many | | | | rapid real estate stabilization will probably occur in |
| indicators 2007 should see a stabilization of this | | | | 2007. |
| decline. | | | | The deflating of the "real estate bubble" occurred |
| In order to understand what will be in the future | | | | because of past rapid market growth and the |
| we need understand the past. With a few | | | | fear of the market bursting. A lot of people |
| exceptions real estate value has been rising since | | | | declined to buy a home in 2006 because they |
| the l950's. Since 2000 interests rates were falling | | | | thought that if they waited they would get a |
| rapidly, thus making financing easier. Combined | | | | better deal. Sellers, who were accustomed to |
| with a generally strong economy (the 2001 | | | | being in control, didn't see the real estate decline |
| "recession" notwithstanding) this created a real | | | | as permanent and many decided to wait it out. |
| estate market where people felt they could buy. | | | | Many sellers put their move on hold rather than |
| In the Internet Age, real estate information, like | | | | take a perceived loss. 2006 saw many expired |
| everything else, is disseminated rapidly at the | | | | and withdrawn real estate listings. |
| speed of, well, The Internet. This meant that as | | | | As people who deferred buying a home for a |
| people sold their house slightly higher than the | | | | while see that houses are not plummeting, like |
| previous comparable house the next person knew | | | | many predicted, they will start coming into the |
| about it that much faster. Before the Internet, | | | | home buying market again. So the actual |
| with free online public records and online MLS's, it | | | | stabilization will also happen swiftly. This is, in a |
| would take time for a general uptick, or downtick, | | | | large part, due to the Internet. 2007 will probably |
| in the real estate market to disseminate to the | | | | not see a meteoric rise in the real estate market |
| surrounding houses and areas. Now, with instant | | | | but it should see stabilization, with a slight uptick |
| access at our fingertips, this real estate | | | | possible. |
| information is gotten easily, and cheaply. | | | | Copyright 2007 Cy Yablonsky. Cy Yablonsky is a |
| In this instant information age a volatile real estate | | | | Realtor Associate with ERA Othello Realty, you |
| market is inevitable. When the perception of a | | | | can reach them at Homes for Sale in New Jersey |
| certain type of market (sellers' or buyers') is | | | | or Marlboro NJ Real Estate. Feel free to reprint or |
| created and the underlying components are there | | | | use this article as long as you keep this paragraph |
| (economy and interest rates) then a rapid growth, | | | | and all links are live. |