By far, the biggest question I get from my clients on both sides is, “When is the market going to turn around.” Now that we are beginning to see a second wave of foreclosures hit the market, you might think this is never going to end. But, believe it or not, there is a light at the end of this tunnel.
The President of Fannie Mae, expects some recovery and growth, but not until 2010. You might be thinking that is far away, but things are already starting to change. Of course, these changes are very small but they are the start to what lays ahead. For example, in Northern Virginia, we are seeing home prices start to stabilize. This does not mean we are seeing the same prices on homes that we did even a year ago. In the Washington area home prices have dropped 13% in one year.
The President of the United States and Congress are working on legislation to help the real estate disaster we are experiencing. If this legislation ever gets approved and implemented, I feel that it will help. But of course, it takes time.
There is a light at the end of the tunnel, even though it is very small, we will get there. If there is one positive about living in this area of the country, it is that we live in a very transient community. People are always moving in and out. So if you are selling, and your home is priced for today’s market, it will sell. For the buyer’s, this is a great time to buy, but don’t hold out too long.