Message from Commissioner Davi

Challenging Times Create Once In A Lifetime Opportunities

Everyone is talking about the real estate market. Everyone is talking about the economy. Although the current downturn is worse than most of us can remember, we all need to understand the ebb and flow of the real estate market and economy is just part of a natural cycle. While it may feel like the current downward spiral is never going to end, don’t let those concerns consume you. Rest assured, the market and economy will bounce back. In the meantime, the current environment has created exciting opportunities!

Yes, opportunities! Even in times like today, the real estate market is rich with opportunities for agents, investors, buyers and first time buyers. It has been over a decade since we have seen the housing affordability index in California so favorable. Consumers with good credit, whether a first time home buyer, someone looking for a second home, or an investor, can take advantage of home loan rates that are lower than any time in recent memory. With inventory up, it’s time to go shopping! But, successful transactions these days take effort and know-how.

Over 50 percent of the sales involve foreclosures (REOs). In some counties, over 80% of the sales involve short sales or REOs. These transactions differ substantially from traditional sales. As with any market shift, those who survive and prosper are the ones who re-tool, make the adjustment, and focus on the nuances of change to capitalize on the opportunity a market shift creates.

Instead of being critical of where we are and how things have happened, I would encourage you to embrace the current market conditions, and re-tool so that you can be the best advocate for your client and achieve your client’s goals. The agents that do this will find, in today's market, that not only one can survive, but one can succeed!