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

To: ChanceIs who wrote (76345)	4/19/2007 10:16:55 AM
From: Think4Yourself	Respond to of 306849

That's a good point and may indeed explain why they are building at a much faster rate than they are selling. I have been noticing that while no new subs have been started, building resumed on existing ones awhile back. It sure doesn't help the people who overpaid though, and if the builders have to start reducing selling prices directly it will damage current homeowners ability to sell or refinance. Perhaps it isn't the builders who will get the shaft in the end. It might be all the people who bought homes in the early phases of the subs being built out now. Property values could end up being much lower in the end of the buildout than they were in the beginning. The people who bought in the beginning counting on the price appreciation that usually occurs will actually experience price depreciation.