Data May Suggest Housing Slowdown Is Media Creation

Article Submitted by: Cindy Daniels
Real Estate


Data that I follow seems to show fewer homes on the market, not more as would be expected. What's the explanation?

 

Submitted: Aug 13, 2007    Views: 624    Comments: 3    Likes: 4   


Back at the height of the real-estate boom in 2004-2005, I used to count the columns of homes for sale in the local newspaper.  It provided me with a way to see how much was on the market in my town.  There were always between 6-9 columns, usually 9 when the market was a bit slower.

I hadn't done it for awhile and finally took out the Sunday paper and gave it a count today.  I expected to find more listings and more columns.  Imagine how shocked I was when there were only 3 ½ columns.  Where were all of the homes?  I thought unsold inventory was climbing rapidly.

I'm still a bit surprised but I offer several possible theories:

  • Sellers have taken their properties off the market instead of selling at below their asking price.
  • Rates have gone up and most people are content to stay in their homes which they purchased or refinanced at a low rate.
  • The housing slowdown is not as bad as the press is making it out to be.
  • I live in the Northeast in a dense area and maybe this is not representative.

Of course, this is just one data point.  Anyone else have any thoughts?




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Comments Received:

HRarra
(Unregistered)

Maybe more people are listing their properties online versus in the newspaper.

Posted: Aug 13, 2007

Timothy
(Unregistered)

This is ridiculous. You can't extrapolate the housing market based on one set of real estate listings in one town.

Posted: Aug 13, 2007

Author/Submitter Response:

Maybe you're right. I just made an observation. The reality is that the data supports the fact that housing is not down nationwide. Real estate prices and sales rose in the Northeast in July.

JessicaRH

There may be fewer houses on the market, but there are still fewer buyers. The market will continue to fall for some time.

Posted: Aug 13, 2007



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