Fritz Pfister

This week had good news and some not so good news on the economic front. The good news is that the price of oil continues to drop, and the dollar is gaining strength. The not so good news is that unemployment in Illinois is up to 7.3%, the highest since 1993.

Not to worry though, the governor explains the rising unemployment is due to a faltering national economy. Really? Then why is the national unemployment rate 5.7%?

My belief is that to have a good economy with job growth you need government to get out of the way. Taxation, and regulation are the biggest hindrances to a thriving economy.

The state governments part is to help provide the infrastructure that allows growth, and taxation and regulation that doesn’t put the state at a competitive disadvantage, or businesses go elsewhere. We sure don’t have that with this anti-business administration.

So governor please don’t blame the national economy for the economic woes in Illinois. Simply look at the dysfunctional state government, taxes, business fees, decrepit infrastructure, and regulations that are holding down the private sector.

Also reported this week were the home sale numbers for the second quarter, and the first half of 2008. Numbers you learned on Let’s Talk Real Estate five weeks ago.

The second quarter is perennially the best for selling a home. Sales were off 12.7% in the second quarter, and off over 15% the first half of the year. The median sale price was up slightly, while the inventory of homes for sale remains at record high levels.

Real estate like any commodity has up and down cycles. Look at the story today about the decline in the price of gold, as the dollar rises in value compared to the Euro.

Yes home sales are soft in July and August compared to last year, however that’s not all bad. Just as the rising value of the dollar has the opposite impact on the price of commodities, whenever home sales are down, demand is building. Just as during the boom years when sales were up, demand was becoming satisfied.

You might say this is simply a natural market cycle. Three years ago the market solidly favored home sellers. Today the market solidly favors home buyers. Home sellers need not despair, homes are selling.

It doesn’t matter what type of market housing is in, good homes, in good condition, priced appropriately, with professional representation, always sell. The knowledgeable home seller today knows that they may not get the cheese, but they can get out of the trap.

Some home sellers today bemoan missing the sellers market. Wait a while and you will hear home buyers bemoaning the fact they missed the buyers market of 2008. Don’t be one of those people. Hop off the fence and buy now. Interest rates are low, and inventory is high, making this the best time to buy!

Make this a great week from Fritz and Kristie Pfister and the Pfister Success Team of RE/MAX Professionals. Our listing inventory is at its’ lowest level of the year, if you or someone you know wants to sell their home, have them call 652-sold. Our systems are proven the most effective of all agents and teams in the market. It would be an honor to serve you.

Wow, what a week in Springfield. I’m guessing most home sellers are feeling like the guy on the ground in the old Dirty Harry movie, with the market saying to the seller, feel lucky do ya? Well do Ya?
Following a down June with home sales off by 21%, the final numbers are in for July, [...]

My, my, my, what do we have here? A return to normal? How many times have I shared with you not to underestimate the resiliency of the local housing market?
Following a dismal 21% decline in home sales in June, July has rebounded and was off by only 6%, and there are two business days remaining [...]