Industry analysts are all over the board when it comes to the direction of the market. Some feel the worst is still ahead, while others see the rebound continuing:
- According to appraisalinstitute.org, after three straight months of growth between November 2010 and January 2011, February existing home sales were down 9.6%. Just a hiccup? Or, the beginnings of a trend?
- Factor in reports that foreclosures dropped 14% in February and 27% when compared to February 2010 and the forecast becomes less clear.
- Dig deeper and you’ll discover that even though actual foreclosures have decreased, many owners are still upside down on their mortgages: Zillow isreporting that 30% of home owners owe more than their house is worth. (source:cnnmoney.com)
So where do we stand?
Even Robert Shiller and Karl Case of the S&P/Case-Shiller Home Price Index can’t seem to agree. Case believes “we’ve turned a corner with housing” and that “we should see housing play a key role in preventing a double-dip recession.” Shiller is of a decidedly different mind, predicting that home prices may fall another 15-25%.
Whether the market is up or down, successful companies know that when it comes to real estate, opportunities exist at both ends. If purchases are down, chances are refinance work is strong. If foreclosures are up, REO work may be as well. The companies who can profit no matter the market, then, are those with diversified revenue streams and an agile, adaptive work force.
That last component is critical. The talent capable of helping you stay competitive can be hard to find. If you’ve already found it, wonderful; you’re ahead of the curve. If not—well, we know where to look. Give us a call.