Houses going up for sale everywhere around here.

[rustynuts]

It seems like the recession is finally hitting home in my little town. Over the past few weeks I've noticed more and more for sale signs in front of houses and just this morning saw three new ones in my mom's neighborhood that weren't there just a few days ago.

On the way back out of her neighborhood I counted five of the newer homes, out of 19 on the street, that have been put up for sale in the past few weeks. A lot of the manufacturing here is geared towards the auto industry and I think it's finally trickling down. One of the houses, first sold only about eight months ago, now sits empty again.

I keep hearing all the analysts on the radio saying that "we've turned the corner" in the housing market, but I don't think we have yet. How are things elsewhere? Are people still losing their houses left and right?

[L-A]

Spend some time watching this, it's the best (simple) explanation video around, and you'll understand exactly where you are.

As for me, well Canada has been a little more conservative through its financial system, and while multinational companies affect us, the global economy is nowhere as alarming as U.S.A's.

[mike phillips]

my wifes kin people live in ohio. after her daddy and mama passed on it took 4 1/2 years to sell their house. we were damned lucky it finally sold. while it was for sale some %$#@!*#@! broke in an stole all the copper pipe then came back an got the water meter. my brother in law, also from there, lost his job in the steel mill after 41 years. he started there the day after he graduated from high school. hes now 59 and huntin a new job.

[rustynuts]

Originally Posted by L-A

Spend some time watching this, it's the best (simple) explanation video around, and you'll understand exactly where you are.

Oh, I understand perfectly what's going on, though it's not "where I am". My home is paid for and I owe no credit card bills or anything else other than insurance and the monthly utilities, phone, etc.

Property values haven't really fallen off here yet, not to any great degree like they have in some places. What we are seeing here now are many factories starting to phase out shifts, laying off employees and talking about shutting down. We have Chrysler and General Motors going into bankruptcy, and yet we still have these people on the radio (I don't watch TV, they may say it there as well) saying that the worst is over, things are looking up, etc.

This point of view just strikes me as overly optimistic and probably unrealistic. A new upturn in house sales last month? Why does that surprise anyone? They're a dime a dozen right now in some places and investors are probably snatching them up left and right.

Production is up in factories after months of decline. Again, no surprise. There were warehouses full of product that nobody was buying and now that back stock is finally dwindling so of course production will have to kick in again. For awhile.

And then....?

I guess it's not the rapid rate of houses up for sale that bugs me, it's the people in the press trying to paint a happy face on things. Maybe in an effort to get people to free up their spending? I don't know.

[Jim Campbell]

Originally Posted by rustynuts

Oh, I understand perfectly what's going on, though it's not "where I am". My home is paid for and I owe no credit card bills or anything else other than insurance and the monthly utilities, phone, etc.

Property values haven't really fallen off here yet, not to any great degree like they have in some places. What we are seeing here now are many factories starting to phase out shifts, laying off employees and talking about shutting down. We have Chrysler and General Motors going into bankruptcy, and yet we still have these people on the radio (I don't watch TV, they may say it there as well) saying that the worst is over, things are looking up, etc.

This point of view just strikes me as overly optimistic and probably unrealistic. A new upturn in house sales last month? Why does that surprise anyone? They're a dime a dozen right now in some places and investors are probably snatching them up left and right.

Production is up in factories after months of decline. Again, no surprise. There were warehouses full of product that nobody was buying and now that back stock is finally dwindling so of course production will have to kick in again. For awhile.

And then....?

I guess it's not the rapid rate of houses up for sale that bugs me, it's the people in the press trying to paint a happy face on things. Maybe in an effort to get people to free up their spending? I don't know.

well they say that tough times don't last but tough people do........

[seanm]

Ottawa is basically a government town, so we are a bit more stable. While I am not seeing too many more houses for sale than normal, I notice that they are not selling. Some have not sold for months, which is unheard of in this neighbourhood. Houses here usually sell in weeks if not days.

And remember, "turning around" means that the markets are starting to shift. For the average Joe this means that things will not start getting better for a while, and could even get worse. There is a real lag.

[ryco]

I believe the rosy turnaround is because people who have money/good credit can buy nice houses at a very nice price right now.
It's totally a buyers market.
If you have income and are looking for your first house - now is the time. Prices and rates are never going to be this good again.

I don't know how well the production side of the economy will fare. America doesn't produce/manufacture much anymore.Those days may well be over - unless American workers would be happy settling for the working wage the rest of the world makes.
Although, from what I understand, Japanese and German workers do make a decent wage. Of course they also make highly regarded, quality products.

[P. Aaron]

I live in Michigan. The state of the perpetual recession. As many may be aware; automotive here has been hit particularly hard...and it affects every other aspect of life here.

As a licensed Realtor, I don't use the term "Buyer's Market". I inform my Sellers that in the market we're in; where we have 1 serious, qualified Buyer for every 25-50 homes. That is not a Buyer's Market, but a RAFFLE! The odds are similar.

It sucks all around, and I am sad for people who went about their lives and got totally wrecked by poorly thought-out legislative policies designed to keep the boom moving upward rather than just letting natural economics run its course.

Now the Wizards of Smart won't leave well enough alone and have probably made things worse.

But your are going to see the Realty signs for a while, and the market (if left alone), as cruel as it seems, is the only way this situation will honestly work itself out.

How long will it take? That's the only question that can't be answered.

[iamlowsound]

Not really any more houses for sale around here, but the ones that are for sale are taking longer to sell.

lowsound

[Lady Kayri]

Lots of houses, condos, etc here are up for sale, some for several years. PRoblem here in Cape May County is that it's a resort area = lots of folks bought very expensive houses and condos as second homes; many figured on paying mortgages off renting their seaside residences during the weeks they weren't 'down at the shore.' Problem is, as soon as stuff started going south, the renters were no longer willing to pay $4000 or more a WEEK (yeah, a WEEK not a MONTH) in rent for a house at the shore. But idiot owners needed that much rent to pay off mortgages (which have to be paid every month all year long, not just the three months or so you can regularly rent condos and the like at the shore) so ... Unfortunately a lot of stuff for sale is still pretty gruesomely overpriced, so even on sale, stuff isn't selling. Doesn't help of course that most of the property taxes here are through the ceiling, either. I suspect resort areas like Cape May are going to be some of the areas that will be among the last to have our housing markets recover. Too many McMansions that cost too much both in mortgage and tax payments, especially for houses that aren't 'primary residences' but are basically a way for those who have / had high incomes to show off their wealth to their friends (come, spend a week at the shore at the house I own in Cape May / Wildwood / Avalon / Sea Isle City / etc.!) Only good thing is, with all the fancy dancy McMansions going up a few miles west of us, our neighborhood, with older homes, hasn't seen our tax assessments go up all that much; we look pretty poor in comparison to the big boys...

[xgator4u]

Originally Posted by rustynuts

I guess it's not the rapid rate of houses up for sale that bugs me, it's the people in the press trying to paint a happy face on things. Maybe in an effort to get people to free up their spending? I don't know.

It's called PROPAGANDA =Propaganda is the dissemination of information aimed at influencing the opinions or behaviors of people. As opposed to impartially providing information, propaganda in its most basic sense, often presents information primarily in order to influence its audience. Propaganda often presents facts selectively (thus lying by omission) to encourage a particular synthesis, or gives loaded messages in order to produce an emotional rather than rational response to the information presented. The desired result is a change of the attitude toward the subject in the target audience to further a political agenda.