All summer long we heard that because prices were going up and there were fewer homes on the market we would soon hit another dreaded “Bubble”. Rubbish. When demand is high and supply is low, prices rise. Basic economics.
The so-called housing bubbles happen when financing is easy and buyers set themselves up for failure and foreclosure. Mortgage loans are far from easy for most Americans and supply is low in most markets. Therefore, the bubble is a myth.
In addition, we’re only one month into fall and all the doomsayers are screaming that we’ve “Avoided the bubble because sales have slowed.” What a crock.
December and January are still the highest income months for many REALTORS. Why is that? Probably because the other REALTORS don’t work during the holidays. In today’s world most consumers don’t decide to move because of what time of year it is. That is usually way down on the list of ‘whys’. They move because it’s convenient in their life. Either a job change, getting closer to family, retiring, etc. Never has someone said to me, “I can’t move because it is November.” or “It’s April, I must move.”
My advice to consumers: 1) If you want to move, move. The time of year doesn’t effect the markets. 2) When someone starts talking about bubbles, give them gum.
leighyork 