Perhaps the most common question I get from folks, realtors, lenders and homeowners is about the future. "When is the market going to come back?" The answer I give is simply that I don't know. Having said that I reserve the right to speculate. Based on everything I have observed over 29 years in the real estate business, I might say it will come back soon. It always does, right? I'm not so sure this time.
What we are going through supercedes local or regional conditions. It's global. This is not a typical recession where the Fed can "prime the pump" and infuse some money into the system or the government can spend some money and things will come back. Their bag of tricks is empty. We are in the middle of something more historic. I'm not sure what replace the old world order, but things are not going to be the same or back to "normal" as we knew it.
There are so many unsettled big issues. We are awash in debt, corporate, sovereign, and personal. Do you see our current leaders really solving the debt problem? I don't. They will continue to tax and spend. The Fed will going into QE III, QE IV, QE V, etc. The current administration recently revealed it wanted an unlimited debt ceiling. At some point, this will cause inflation and devaluation of the currency. It's already happening.
In the next chapter, I will focus on Harford County and its prospects for the near term. I will explore how all these world and national events and trends will affect our local real estate market. As an appraiser, you can be sure I will present a factual synopsis. I can tell you it's not looking good. If you think we are poised for the next big real estate boom, well, you are in for a rude awakening. Stay posted.