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Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: bozwood who wrote (4640)	8/23/2002 10:43:38 AM
From: Tradelite	Respond to of 306849

<<absolutely no way a person can compare real estate with stocks.>> Very true. Companies can improve earnings and therefore their stock prices in many ways, regardless of how much product they sell. I imagine the big builders would use a downturn in the market to further consolidate or build other things which turn a better profit. Home Depot and Lowes might benefit if many smaller retailers are forced by the economy to go out of business. During real estate downturns, big real estate brokers absorb smaller firms (and usually hardly pay a dime to acquire them), and then automatically own bigger market share when the market improves. In a shakedown, not everyone necessarily gets shaken down, it seems.