"Full Speed Ahead"
I talked about this a little bit earlier in the year and I wanted to revisit it. As the housing recovery continues the one thing that is still lagging is the number of transactions. Which is wonderful however we all need to be prepared for the future business. As home prices increase it will allow more people to make decisions on their homes based on their lives not whether they are upside down or not. We saw this same cycle from around 1998-2002 as far as number of transactions. 2002 is my favorite year to look back upon because I believe it was the last time we had a normal real estate market in a normal economy. Things went way to high from there and fell way to far after. From January 1 through July 31st in Silver Spring, Potomac and Germantown (chosen because that's where are offices are...) in 2002 there 3,838 transactions. In the same time period in the same locations this year there have been 2,523 transactions. Math tells us over the next several years we should experience a 50% increase in opportunity's to get more transactions. I would also like to point out the average 30 year fixed rate in 2002 was 6.56% compared to 4.625% at the moment, we have some room here. The point I am getting to is the housing market has legs and will continue to move forward. We should all look at our business model, put the foot on the marketing/prospecting gas pedal a bit to have the opportunity to get this future business and start thinking "Full Speed Ahead".
Enjoy the coffee,