It's Hard to Know the Reality of Today's Real Estate Market

August 26, 2009

This morning I was listening to Bloomberg News and they were interviewing a number of experts regarding the just released real estate data. New home sales were reported up for the month of July, prices were up (I'm not certain whether they were referring to median or average prices.), and the interviewers wanted the interviewees to comment on what this data means to the overall housing market.

One says: "Housing seems to have bottomed out."

Another says: This may be a temporary change."

Another says: "Until the glut of homes on the market is absorbed, housing will continue to be depressed."

Another refers to the backlog of foreclosed properties that could flood the market with low priced homes thereby depressing prices once more.

Etcetera; etcetera; etcetera;

It is extremely difficult to know where reality lies.

Housing markets are generally local phenomenons. One area may be seeing rising prices; another may not. I try to post the data for the 14 communities in Riverside and San Bernardino counties that I have been tracking for 2 years and hope that the data is reflective of the trends occurring in the housing market in those communities.

There was a full page ad in the Wall Street Journal this morning that had nothing directly to do with the housing market, but it spoke to may belief about the current real estate market :

"OPPORTUNITIES PURE AND SIMPLE"