Here is a great question for you…this is the very question that I ask myself..and all of our Harris Real Estate University coaching students…as often as possible.
This question is designed to force you to think, challenge you and then get you into action.
Yes, I know that this question will generate mixed responses. A few of you will remark with negative comments…and..that’s OK. Please don’t let your immediate emotional reaction influence your long term results.
Here is the question:
What if you knew FOR SURE..without a doubt…that in the next 6 months the real estate markets would be much worse than they are now.
(Of course, much worse means different things to different people. For example, If you are listing and selling short sales…and/ or REO’s….a market dominated by the so-called distressed sales…is music to your ears.)
OK, stay with me on this…
Again, you have some ability to see 6 months into the future…and you are now reading the newspaper headlines for Novemeber 2010.
The headlines read:
“Real Estate Market Crashes…Again”, “Home Depreciation For 2011 Expected To Be Much Worse”….you get the idea.
Now, back to today. May 12th 2010.
My question for you is this:…what 3 things would you be doing differently now? What would you be learning…what actions would you be taking?
Go ahead now and actually write down the first 3 things that come to your mind:
1)
2)
3)
Lets get back to those questions and your answers in a second….
Moment of truth….does this topic excite you or depress you? Do you think that I am being too doomy and gloomy? (as I am sure I will be accused of being).
If you are feeling anger or perhaps frustration by my question..please ask yourself, why?
Why are you feeling that way? Perhaps, those feelings are an indication that you know that you are not ready for what might be coming next. If the very thought of the markets regressing…getting worse….scares you…then treat this post as your wake up call.
Before its too late, decide what actions you need to be taking now.
Lets look at the facts. Are there any reasons to believe that things may get much worse 6 months from now?
Well, lets talk about it…here are 3 articles and a couple videos for you to check out. Watch and read…then let me know what your thoughts are. What you think matters…what you DO matters more.
Interesting…eh? Interest rates increasing…supply of homes increasing…more underwater homeowners…I guess if you don’t know how to list and sell Short Sales you may indeed have a reason to be depressed.
Now, lets look at a study that our friends over at Zillow released this week:
Zillow recently released its first quarter Real Estate Market Reports for the nation and 135 metropolitan areas. The reports show that home values continued to decline nationwide in the first quarter, amid encouraging signs in California. However, growing negative equity and record foreclosures will likely delay a broader recovery.
The full national report, in its new, interactive format, is available at www.zillow.com/local-info or by emailing press@zillow.com. Additionally, in most areas data is available at the state, metro, county, city, ZIP and neighborhood level.
Topline National Results:
* U.S. home values fell 3.8 percent year-over-year, and declined 1 percent quarter-over-quarter, marking the 13th consecutive quarter of year-over-year declines. Home values declined year-over-year in 106 of the 135 metropolitan statistical areas (MSAs) tracked by Zillow.
* Home values in several large California markets have stabilized significantly, and show tentative signs of reaching a bottom.
* Negative equity remains high with 23.3 percent of all single family homes with mortgages underwater, up from 21.4 percent in fourth quarter.
* Foreclosures reached a new peak in March, with more than one out of every thousand homes (0.11 percent) being foreclosed.Additional resources available for media:
* First Quarter Real Estate Market Reports press release
* FAQ’s on key metrics included in Zillow Real Estate Market Reports
* Explanation of Data Source: Analysis of Zillow’s home value data compared to OFHEO and Case-Shiller Indexes and NAR/Median Sale Price reports
Still on the fence about what the markets will be like 6 months from now….here is a repost fromTimandJulieHarris.com:
As promised, here is the 60 minutes video about strategic default.
Agents, this consumer lead movement is mainstream now. You must be ready to answer questions and help homeowners who are making the financial decision to walk away. The simple fact is, doing a strategic default IS the smartest financial move for millions of Americans.Fellow Realtors, learn how to do short sales using the new 2010 Short Sale HAFA Guidelines.Watch the updated Agent Short Sale Secrets video and download the FREE Short Sale Book.
Watch CBS News Videos Online
