So how's business?
As is my practice, I do my best to answer honestly. It's not a difficult question because it is a direct reflection of my own personal business. But this question is usually followed by a much more difficult question. A question that is loaded to say the least. A question that can only be answered based on opinion and attitude.
So are we at the bottom?
Man this is a tough questions to answer!!! If I had a crystal ball and could answer that question with 100% accuracy I would probably have my own nationally televised show on CNN. But despite the difficulty and precarious nature of this question, I do my best to answer it with as much grace and accuracy as possible. So here it is, written down for the world to see. This is my official stance on pinpointing the "bottom" of the market.
I choose to believe that the Michigan market is past the bottom and has started it's recovery! I say this based on the things that I see every day. Time on the market for sellers has greatly decreased. We are rarely seeing homes sitting stagnate on the market for more that 90 days. Bank owned properties are starting to make up less and less of the market and are selling within days of being listed. Short Sales are beginning to process faster. Average time is getting closer to 60 days in these traditionally brutal sales. Competition in the buyers market is growing. We are starting to see a lot of multiple offer situations as well as properties selling within days of being listed, sometimes above asking price! Buyers no longer have the luxury of finding a home and then "thinking" on it for weeks at a time.
Are these signs of a recovering market? I believe so. If you look at the most universal law of economics, supply and demand, you too may start to believe that this market is no longer what it was. If the supply of houses in the market continues to decrease and the demand for those homes begins to increase, what will happen? Naturally the price of homes will go up. How long will this take, I don't know. Will we see prices increase soon? I hope so. But if you are considering making a move in this market be aware of these conditions and know how they effect you. With interest rates floating around 5% and prices still low, now is great time to buy. With competition increasing and the forclosure market decreasing, the need for good homes at a fair price is great! Today could be the perfect time to consider selling your home and moving up into a larger property. There are plenty of ways to take advantage of this market but in the end, the choice is yours!
I believe that state of the market, is in large part, based on attitude. If we all walk around complaining about how bad the economy is, focusing on all of the negatives and potential pit falls of the market, will it ever recover? I don't think so. We need to shift our focus to the positives. The Michigan job market is increasing. Businesses are beginning to post positive numbers. Consumers are beginning to spend money again. These are all signs that things are getting better. If every one of us chooses to focus on the positives and spread that to those around us, the shift could be great!
So in the end, who decided the "bottom" of the market?
You and I
