What Happens After Election to home inventory and pricing?

Asked by Slowfoodisgood, Concord, CA Thu Oct 25, 2012

When people say the housing market may be better after the election, what are they thinking will happen? It would seem for there to be more stable pricing, fewer bidding wars, and more inventory, current homeowners under water would need easier ways to sell and re-purchase. Also wouldn't banks need to let go of the many foreclosures they are sitting on? Are they eeking them out slowly in order to keep inventory low and prices high?

Help the community by answering this question:

+ web reference
Web reference:

Answers

8
John Arendsen, Agent, Leucadia, CA
Thu Nov 1, 2012
Not totally buying into the precious metals bubble scenario. If what you're saying comes to pass the dollar is sure to decline further which by all indications and history will only drive up gold and silver which is what I'm assuming you're refering to.

As far as land is concerned that last thing I want to own right now is land. Now improved real estate (rental property) is an entirely different story. I'm a big proponent of owning investment property and continue to buld my portfolio accordingly. But bare land unless you're in an active path of progress I personally consider more of a liability.

Regardless of who gets elected, and I'm strongly for Romney, I think there will be some positive growth as it's not in the Country's interest to consider down the same path we'eve been on for the past 4 years. I think Congress will put pressure on a democratic/socialistic administration and Obama woud be forced to make dicisions not particular in his favor. Just my opinion.
1 vote
Jason Beckfo…, Home Seller, West Palm Beach, FL
Thu Nov 1, 2012
If Obama gets re-elected, than the American dollar will lose value in anticipation of austerity measures and socialist policies. When currency loses value, people put their money in the only two tangible assets, precious metals and land. Since precious metals are already at a bubble, the demand for land will skyrocket and prices will increase. Add to this scenerio the unrest in the EU, and you can anticipate europeans flocking here with their money to further increase demand. I have sold over 60 properties this year to the French alone. I see America moving towards a feudal system, where the land owners control all the wealth...and rent prices are in Alabama are equal to rent prices in Manhattan.
1 vote
John Arendsen, Agent, Leucadia, CA
Sun Oct 28, 2012
Maybe go see Atlas Shrugged then come back and ask that question after the election. LOL! Fact of the matter is there's 3 trillion dollars of corporate earning (cash) sitting on the sidelines looking for a place to park.

Rumor has it among 80 of the top Blue Chip CEO's in the country that if the election swings left the cash will go off shore or evaporate in the abyss of government spending programs. If it swings right their willing to start reinvesting in America in a big way. Private capital infusion is exactly what this Country needs right now. Not more of the same government stimulis programs and failed solar start ups.

But that's just Wall Street. On Main St. it's all about jobs which will surely drive the economy. No jobs, bad economy, falling off the proverbial financial cliff as many fear mongers are suggesting, et. al. could mean a double dip.

Additionally, in many areas shadow inventory could continue to be somewhat of a problem. That stated there are several regions in the USA that currently are or even have bottomed out and are inching there way back up with some incresese in sales and in some instances even multiple offers are popping up.

But again real estate as I'm sure you've heard many times by now in the RE world is a very local business at best. Regardless of how the elections go you will continue to see some upward trajectory continuing after the elections.

The only proviso, once agan, being the "Financial Cliff". But regardless I do not see Washington allowing that to happen or it will certainly throw the economy into another recession or perhaps even worse and then everbody loses regardless of your politico. That's my 3 cents worh.
1 vote
Dot Chance, Agent, Burbank, CA
Thu Oct 25, 2012
Slowfoodisgood,

I'm not sure what you are looking at. You may be absolutely right. On some lists you will see that homes are listed as being "in foreclosure" and that can be confusing. That doesn't necessarily mean the bank already has possession and in many cases they will not.

You are also right that certain areas may have more foreclosures than others, We have seen a shift in our market and almost all homes are sold in multiple offers right now, We don't have enough inventory to meet the demand.

I hope you find what you are looking for at the best price possible!

Dot Chance, Realtor®
Certified Distressed Property Expert – CDPE®
DRE License #01494182
Keller Williams Realty World Media Center
http://www.DotChance.com
818.339.7712

WHEN YOU THINK OF REAL ESTATE...Think DotChance.com! My business thrives from your referrals!
0 votes
Gene Riemens…, Agent, Brentwood, CA
Thu Oct 25, 2012
Maybe. I am not sure where Trulia gets the list. Some of these homes will be sold, but others may end up being Loan Modified or sold in Short Sales. Some of those homes may be homes with notices of default but not actually foreclosed on.
0 votes
Slowfoodisgo…, Home Buyer, Concord, CA
Thu Oct 25, 2012
Dot says the banks are not holding onto as much inventory as I may think ... I am looking for a home in Clayton which is why I posted my question there. Dot is in Studio City. Maybe it's different down there. Looking at Trulia's own list of homes under foreclosure in Clayton, the list is over 4 pages long. Tons of homes. If the banks were to release those homes all at once you can be sure prices would go down in Clayton.
0 votes
Gene Riemens…, Agent, Brentwood, CA
Thu Oct 25, 2012
I think Dot is pretty right on. There are about as many different opinions as there are people. However, after the election I think there will be more certainty no matter who wins, about the direction of this country. Those that think we are headed in the right direction will see home values going up. Those that think it is the wrong direction will see property as a safe investment in hard times. Either way I think that home values will head up.
0 votes
Dot Chance, Agent, Burbank, CA
Thu Oct 25, 2012
Slowfoodisgood,

You have asked the questions that so many are asking! My opinion is that whichever way the election goes, people will be more inclined to put their property on the market. There is no way of knowing for sure that this will even things out.

I don't believe the banks are holding as much inventory as you might be thinking. After foreclosure there is a period of time the bank needs to make sure that everything was done properly. They allso usually need time for cleaning the place out and sometimes they make repairs before putting the property on the market.

We will see very soon if the election makes a difference inour market!

Dot Chance, Realtor®
Certified Distressed Property Expert – CDPE®
DRE License #01494182
Keller Williams Realty World Media Center
http://www.DotChance.com
818.339.7712

WHEN YOU THINK OF REAL ESTATE...Think DotChance.com! My business thrives from your referrals!
0 votes
Search Advice
Search
Ask our community a question
Market Conditions in Clayton Zip Codes

Email me when…

Learn more