Economist Thoughts

We had a great speaker at our last office meeting. She was an economist with the National Association of Realtors. Full of information, and phew, lots of energy. Doubtful that it was caffiene. I beleive that is just the way she is!

At any rate, she had a lot to say about our country, the world and, of course, our little valley.  Her biggest push is that what we all read in the newspapers and see on the television isn't always that valid.....to us.

What is valid is what is happening here in our market. In Santa Clarita Valley. (SFV for my out of SCV followers). Stats about the market in N. Carolina don't mean anything to buyers in Valencia and Canyon Country.

Unemployment in Texas isn't what is valid to us. California is what is valid to us.

Slow new construction in our area? That's important. That it's picked up? Even more important. That our jobless rate has come down a tad? Super.

Again, it only matters to buyers and sellers in Santa Clarita, (and, again SFV, forgive me for not including you in the emphasis of this post).

Buyers want the best price, sellers want the best net. It's all about who wants it more and how long they are willing to wait. Or how much of a gamble they are willing to risk.

Is the market going to appreciate? Sure. When? Not too much very soon. This we know. Is it going to depreciate? Maybe, if the 'Shadow Inventory' gets released in a rush, just maybe. We've all been waiting for that 'Shadow Inventory' to get zeroed out.

Working Realtors in our little valley know what's going on. We've seen the changes in the last few years, this past year, this last quarter. We've watched home prices continue to depreciate. We've watched the buyers dwindle after the tax credits lapsed.

And, yet, there are still plenty of buyers out there. The days of multiple offers are done, for now. The days of FHA financing, with very little down, are here for a while. That's the economy. The pricing of homes is allowing first-time buyers to get in. And, that's good for buyers.

Regardless of the situation of Real Estate in any area, it will build wealth in the long run. There still is a tax deduction for home ownership. There still is a sense of pride taking care of your own home. There remains a wonderful place for your family to enjoy.

She was a great speaker, with a lot of information. The focus, what we already knew. Santa Clarita is it's own town, we have our own Real Estate stats. And, Real Estate is still a good investment.