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Market News and Trends

Buckle up!


For months, I have been writing about the Fed winding down its purchases of mortgage-backed securities and the increase in mortgage interest rates that will likely result.  On Thursday I posted about the next wave of mortgage defaults coming, and the impact on home values in the areas where foreclosures have been and will continue to be most frequent.

This morning Yahoo! Real Estate posted an article that I missed from CNN.com:

Duck! Watch Out for Falling Home Prices

Those of us inside the real estate and mortgage industries won’t find much new news here, but I haven’t seen the various influences brought together so well  in a single national-press article. 

Of course, debates continue about whether the Fed’s budget for continuing securities purchases should be extended,and there is new debate about another “foreclosure moratorium,” so who knows?  Maybe this won’t happen — for now.  Inevitably, however, these necessary market corrections will take place — now or later.  In my opinion, continued artificial support will only make the correction worse when it does happen, so we should allow the market to seek its own course, with minimal external manipulation.

As I have also written frequently, Austin and Central Texas are much better positioned for this difficult period than many other areas, but a delayed and amplified national market correction will still ripple through our local/regional economy and I prefer smaller waves sooner.

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About Bill Morris, Realtor

More than thirty years of business experience (high tech, client service, business organization and start-up, including many years in real estate) tell me that service is the key to success and I look forward to serving you. I represent both buyers and sellers throughout the Austin metropolitan area, which means first-hand market knowledge is brought to bear on serving your needs: -- Seller Representation is a comprehensive process that begins with thorough market analysis and consultation, continues with properly staging the home to achieve the highest price possible in a reasonable time on market, a complete program of marketing and promotion, ongoing updates and communication, closing coordination, and follow-up throughout (and after) the sale. -- Buyer Representation is also full service: shopping, previewing, price and market consultation, contracting, negotiating, coordination of inspections, appraisals, repairs, and closing details, and follow-up beyond the closing of your purchase to ensure your lasting satisfaction. Because the real estate industry is becoming more sophisticated and challenging every day, you need a professional that understands the industry and is positioned to stay ahead of the game. I go the extra mile to help you achieve your goals. That's why I constantly research the market and property values so your home is priced effectively from day one. I also make sure the public knows your home is for sale by using innovative advertising and marketing techniques to attract potential buyers.

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