2/01/08: Make sure it is your market
Make sure the news, articles you read, and the forecasts your hear are specific to the market in which you are planning to buy or sell in. We hear about foreclosures and rapid price drops almost daily on the news. Keep in mind that the area that you are looking in may be completely different. Southern California beach cities may not be as effected by the economic instability shown widely all over the news.
Be sure to factor in the demographics of an area. People with a higher education and income are less likely to foreclose or default on their home, resulting in a more stable real estate market. In areas as such, many sellers hold off on selling until they can get the price they want, rather than dropping to what the market is willing to pay. Their are many variable factors that must be given attention to truly know a specific real estate market.
