I work part time in a real estate broker’s office in North County, and for the last month and a half it’s been dead quiet. Just this month two buyers I personally worked with backed out of deals (both lost earnest money) on interest rate fears–probably more that I don’t know of first hand. My broker is pretty worried about the mass speculation and restrained buying activity on [high] interest rate fears. So much for the good old easy days when cheap, easy loans to everyone were a dime a dozen. True, rates have not changed by a whole lot in the past six months, but boy are things super quiet around our office. Looks like a fair amount of panic selling is going on up here in North County as well.
How do you explain that the median housing price is staying high?
How do you explain that sellers are not reducing their prices enough to lure buyers?
Do you have any listings? Are you seeing any offers made on those listings?
What do you mean with interest rate fears? Did the buyers worry about getting an ARM, thinking the rate would go up on them? Why not get a fixed rate mortgage?
Last month, we had so many sales. Although they were half of January 2005, there were thousands of buyers. Is February a slowdown from January?
I have a friend who’s a realtor, but don’t like to ask her questions which would make her have to face the fact of a declining market. She is a single mom, and needs the income.
.
