Comparing today’s market to the last down turn, nearly 15 years ago
Many people who are predicting a major crash tend to point to the past. ‘We’re due’, or ‘It happens every 7 to 10 years’, or ‘History repeats itself’.
It’s important to note what drove the last market and what created the vulnerable situation the market found itself in.
Basically, it was wild-abandon. It was a combination of an out-of-control mortgage industry, borrowers leveraging their homes to the point of having little to no equity, and speculative housing construction that left us with far more supply than demand.
Are things different today?
Take a look.
I’d love to know your thoughts on the matter.
Drop me a line at firstname.lastname@example.org
Steve Heard is a Realtor with EXP of California, Inc – DRE 01368503, and owner of MyFolsom.com