Personal thoughts from within the Luxury Real Estate network
By Robert Lockard
“The drop in house prices is a good thing.” So says a recent editorial, entitled “Relief for home buyers,” in The Seattle Times. Exactly. Thank you, Seattle Times editors, for succinctly stating a fact that cuts to the heart of this matter. If prices are always rising, then that is certainly not a good thing for buyers, who have to pay more for the same home. Trends that are good for sellers will not be so good for buyers, and vice versa. Prices have been reaching all-time highs in the past few years, so the price dip that is occurring in several markets is by no means a catastrophe. In fact, it is probably a good thing since it will allow buyers, seeking first homes or luxury homes, to receive more property for their money.
This editorial reminds us of an important fact that is sometimes lost in these endless debates of dollars and deals. The truth is that the housing market primarily exists to provide houses to individuals and families, not to give them money. Certainly, there are numerous advantages to homeownership, including the personal equity and stability they can offer over the long term. But that is not what houses are designed to do. Prices have historically always risen on properties across the United States, but that doesn’t mean that they can never fall in the short term. If people would think of their homes as where they live first, and an investment second, a lot of unforeseen troubles probably would have been averted.
Editor’s Note:
Robert Lockard is the Public Relations & Media Specialist with LuxuryRealEstate.com. I am Robert. I create all of Luxury Real Estate’s newsletters, write the editorials in LuxuryRealEstate.com Magazine and much more. Let me know your thoughts on this topic.
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