It is time to focus on the brighter side in real estate, the economy and where we may be going.
You can read it on people’s faces and overhear water cooler talk about economic concerns.
Over the years, many have found truth in old sayings.
One that may apply today is, “It is darkest before the dawn.”
Recently, in an old pile of memorabilia, there was a Newsweek magazine from the 1970s that looked interesting.
In picking through the pages, it brought back memories of some tough times we faced in the past, and the news media’s interpretation of where we were and where we were going.
Some of the articles painted little hope that America would recover, and some were overwhelmingly negative.
It would appear that things always seem worse when you are in the middle of a difficult time, and that journalists and economists seemingly follow the pack mentality.
The good news is, we did have some good times after the 1970s, and no doubt we will again as we go through this market cycle.
Many articles we are seeing now proclaim that Arizona real estate has, or will hit the bottom shortly.
Although we have been impacted in the Rim Country, we are fortunate at this point, to be better off than a number of other areas in Arizona.
The news media portrays that the lack of housing starts is a bad thing, however, in reality it is a good thing for the present, because it gives the market a chance to clean out excess inventory and get back to normal levels.
If you could buy a 3,740-square-foot home, built in 2006, for $109,900 including land (that’s less than $29 a square foot), would that indicate to you that we are at the bottom?
That is an actual listing in Maricopa, which is located about 20 miles south of Chandler.
How long can these homes remain on the market at these prices?
Buyers should eventually start to move back in and prices will start to rise, and as the Valley goes, so goes the Rim Country.
In our area, January was the slowest month for real estate foot traffic that some old-time agents can recall.
However, February and the first part of March are showing us that there is some life and resurgence coming back into our local real estate market.
Ray Pugel is a designated broker for Coldwell Banker Bishop Realty. Contact him at (928) 474-2216.