Grazing in the grass

Everyone is trying to figure out what's going on with the real estate market, sellers, buyers, Realtors, economist, everyone. I my friends, have the answer. Stop trying to figure it out, it's all a mystery and the market is doing what the market is doing. Here's what I do know: there are a lot more houses on the market today than a year ago, there are more buyers out there looking than there were a year ago, and houses are staying on the market longer. Prices are down because they were unrealistically high to begin with. Even with the price shifts and the increased inventory, buyers are still waiting. At our sales meeting yesterday we discussed this and concluded that buyers are grazing. I like that term because that's really what's happening, buyers are grazing. They want to sample everything that's there and then think some more. What's happening while buyers are thinking is interest rates continue to go up ever so slightly, tax assessments go up, the cost to record and transfer property is going up and in the end by the time that buyer decides to buy something, even if the price of the house goes down, it'll cost the same or slightly more because he/she waited. And while he/she waited, the benefits of home ownership aren't realized. The stories in the newspaper aren't helping either. Here are two Washington Post articles. The first from today's paper and the second from Saturday's Real Estate section. When you read them keep it in perspective and remember what I've been saying for a while now about the housing market:
Article 1:
http://www.washingtonpost.com/wp-dyn/content/article/2006/07/25/AR2006072501513.html
Article 2:
http://www.washingtonpost.com/wp-dyn/content/article/2006/07/25/AR2006072500538.html
And if you're blue about finding something in this area, think about Baltimore (I also sell in Baltimore):
http://www.washingtonpost.com/wp-dyn/content/article/2006/07/21/AR2006072100663.html
Lots to digest I know. Remember, if you have any questions or concerns, please don't hesitate to contact me. Enjoy the rest of your day.