For the first time in recent years, the media has portrayed the housing industry in a positive light.

by on May 23, 2008

The Wall Street Journal, in recent news said that the home buyers should start their engines and get going about buying new homes. Due to recent draught in the real estate markets various reports were seen about the bad situation of the market and how people should be refraining from buying homes. But now every one, including the media has stated that the market conditions are actually favorable.

Across the whole of the United States there is a drastic reduction in home prices and San Diego is not out of this lessening of prices. Sellers are no longer pricing their houses at the high rates of the past. And buyers are no longer intimidated by the absurd pricing of homes. The sellers are actually beginning to realize that high prices of homes are actually harming the market because of the less number of buyers. And the realization that the prices they fixed before are actually high and not normal took a lot of effort because of values from the past and previous market trends. The sellers are finally getting the new trend in the market and are pricing their properties and homes appropriately. The current situation is favorable enough for the sellers to reduce their prices to match the dynamics and the trends of today’s market.

The Wall Street Journal reported that according to a report released in the National Association of Realtors this past Tuesday, the statistics were food for thought indeed. The realtors released statistics on price drops and the media was the first to report on it, hence such a positive response from the sellers and a sigh of relief from the people who were waiting to buy property in San Diego, California. The single-family home prices dropped almost 20% to nearly 30% in a single year and certain parts of California, which includes San Diego, the quarter-on-quarter declines are more than 10%. These are the statistics of a market which is ready to be frenzied by the buyers and the sellers will make small profits and make lots of sales rather than making one sale in a month and try and make a large amount of profit.

Maybe the sellers are thinking that this is not that great a news, but actually what they will realize that the recession bubble, as the media called the recent fall in the market, needs to burst and completely deflate. The only way a market can recover is when the prices are ranged in such a way and in such a scale that the buyers feel comfortable enough and secured enough to actually go out in the market to look around for homes. Only than can a person decide on weather to buy or not, because if the buyers are scared to even look at the recent prices than how can the seller expect him to actually come to him for a price range or a bargain. Right now the buyers feel that reasonable and affordable prices are in the market and they are actually ready to buy.

The prices of the past are totally irrelevant now and the sellers are actually having a hard time to grasp however, according to the recent statistics the sellers are probably getting the hang of it and are responding according to the market trends.

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