What are the affects of the Economy the Government and the Media in LA
What are the affects of the Economy, the Government and the Media on Los Angeles Real Estate? (part1)
Friends, acquaintances, clients and inquiring investors have been asking me in various forms this question: what are or what will be the affects of the Economy and the Media’s activity on the Los Angeles Real Estate Market?
The biggest problem I see is the headlines!! Our Stock Market, our Economy and our Real Estate Activity is largely influenced by the Headlines Good or Bad or Indifferent. When the Fed Chairman speaks the stock market as well as the mortgage market react and conversely the buyers and sellers react. Sadly it is not always good. Often times no facts, no research or any background is considered purely the headlines!
Just to be clear economic reports are being delayed both the retail Sale Report and the Whole Sale Inflation measuring Producer Price Index for September have not been release due to the government shut down. Hence we are operating by Headline only; Local breaking News which we all know is malarkey…
The Government is not helping either, the Unemployment Figures are not disclosed and often times when they are disclosed it is wrong hence the Headlines continue to generate the activity. Then the following month there is a “correction”.
So with all that said my advice is to keep the following factors in mind: Interest rates are at a very low artificially created by the government. How long do you think it will stay? Sooner or later it will have to go up; hence you should sell or buy now before it does! (To maximize your opportunities)
The headlines change daily! I read good and bad information about the Real Estate Market daily; the reality is you need to have a local Realtor give you the FACTS! Let us be realistic since the prices dropped 40-50% and now they have increased by 8-25% per cent that does not make it over heated. It just simply brings it back where it should have been in the first place. Then if the prices do not increase a great deal again it is an indication that, that is where the prices should be. It is not Headline worthy!
Unfortunately many people make a good living being the “Country Criers”. Now if you would like good local information about the Real Estate Activity Reach out to a local Realtor: in the Greater Los Angeles area feel free to reach out to me Endre Barath, Jr.!
If you are considering buying or selling a luxury home, or an ultra luxury home, or luxury investment real estate, or luxury vacation homes, or luxury beach properties in Southern California, Los Angeles, Century City, Westwood, West Hollywood, Beverly Hills, Marina Del Rey, Venice or Malibu. Feel Free to give me a call at 310.486.1002 or email me at firstname.lastname@example.org or visit one of my websites at http://www.endrebarath.com I am a Pet Friendly Realtor and I contribute a portion of my commissions to local animal rescue organizations.