Well, the real estate market continues to struggle in the midst of the mortgage crisis and falling demand for homes across the country.  According to a recent article (10/02/07) on Yahoo finance, “The National Association of Realtors said Tuesday its seasonally adjusted index of pending sales for existing homes fell 6.5 percent from July and 21.5 percent from a year ago.  August’s reading of 85.5 was below analysts’ expectations and the lowest ever for the index, which started in January 2001. Analysts surveyed by Briefing.com had predicted the index would fall by 2 percent from July.”  So, what does this mean for you?  If you are a buyer, this is great news!  Sellers continue to watch their homes sit on the market and are obviously more willing to negotiate any offers.  Furthermore, mortgage companies are looking for well-qualified buyers and continue to offer historically low mortgage rates. 

As for you sellers out there, it’s a tough market.  However, if you’re lucky enough to own property near a college campus, you should be somewhat insulated from the real estate lull gripping much of the country.  Students and alums will always need a place to live and owning property near a college or university should ensure a moderate to high level of demand for fairly priced homes, particularly in the spring and summer months.  If you need to unload a property, market it to students (and their parents) and consider renting as an option.  Renting allows you to build equity and capture the long-term price appreciation that can be gained by owning property near a college campus.

Happy buying and selling,

MR