Quote:
Originally Posted by BrianL99
I think it's perfectly clear how it will play out, it's the same basic premises that has defined Economics for centuries, Supply & Demand.
The real estate folks are great at quoting and posting all this noise about how pricing has not changed much over the last year, but where their reasoning falls apart, is they're not looking at "Days Supply", which is really the number that matters. When I bought in TV 4 years ago, I think the Days Supply was in the 30 day range ... now it's probably in the 90 day range.
Homes don't go on the market for "fun" ... they go on the market because people need to sell for one reason or another. The vast majority of homes on the market will eventually sell, for that very reason ... and prices will drop until they do.
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There's also that old saying in the real estate business: it doesn't matter what the owner thinks his/her property is "worth", or what the agent thinks he/her can "get". They all sell eventually regardless of the market, when they are priced at an amount someone will pay ! The amount someone is willing to pay is the only genuine "valuation" of most anything, land, home, auto, or household item !