You
hear it on the news that the Tigard, Oregon real estate market is
starting to
bounce back, but ask yourself is it really? The media is
telling us how
home
sales are up in the last month, so there is a bounce, but like all
things that
go up, it has to come down sometime, so is this a large bounce or a
little hop?
My perspective is that is
really neither. It is actually a false bounce
brought
on by bad economic policy that in the end may actually make things
worse,
rather than make things better. It is a temporary band-aid put on
something
that really needs stitches. Basically, the band-aid can only hold the
problem
for a short time before the wounds starts to bleed again.
Here is the reason that I
don’t think the Tigard, Oregon, real estate
market
really is making a bounce back, but rather a false bubble created by
the
government. I took all the sales in my office in the last
month plus
the sales
of about 10 other agents in other offices and found out they had two
kinds of
buyers. The ones that got the $8,000 credit and the ones that just sold
their
home to a person who was getting the $8,000 tax credit.
You see, once the $8,000
tax credit is gone, we have no buyers. With no
buyers
the one selling can’t buy either and the home prices will begin to fall
again.
Basically, what the government has done is created a false sense of
security
with the $8,000 tax credit and makes it look there are really more
buyers than
there actually should be.
So ask yourself this, why
do we continue to put up with the government
not
reading the bills they are passing and further delaying
the bottom of
the
market that has to happen for the market to recover? Putting a band-aid
on it
won’t help and it could actually make things worse!
Do you see this as a false bubble or are you with the local media and patting the government on the shoulder and thanking them for saving us once again, by spending our money.
Todd Clark - Broker / Sales Coach
Palazzo Realty Group
Phone: (503)524-9494
Fax: (503)622-8739
©2009 Todd Clark - Tigard Oregon Real Estate and More: The housing market is starting to bounce back or is it?
