I was getting my truck inspected this morning. Talking with a fellow that builds decks and other jobs related to residential homes. After his truck was fixed he was on his way to pressure wash some driveways for a “Parade of Homes” that was going on this coming weekend. I asked him how things were, did he think there was a housing bubble. He got real serious looking and state that “yes, there is some kind of bubble deflating”. He said that even six months ago he saw people bidding against each other for homes. He said now if they have twelve homes listed they are lucky to have one couple come look. He stated that he wants to see interest rates go back down to around 5% and fuel prices go down so people will start buying. I’m on the East coast in central Virginia. We aren’t really in a bubble area, but realestate has slowed dramatically. About a year ago a sub-division started going in and the sign said “Homes from the 800’s” For our area, that would be a friggin mansion. And these homes are now getting completed and they look like mansions. They must be 4500 sq ft, all brick. And I don’t see many cars in driveways. I am wondering if they will even sell now with the slow down.
