
Last week I asked all of you when we would see a major reset in real estate prices? The real estate pros have spoken and as you can see from the chart, the overwhelming choice was there will not be a major reset in the next four years. Do you agree with the survey results? What was the key rationale behind the predictions.
Survey results: will there be a major reset in real estate prices surprise
I was actually pretty surprised at the results from the survey. My best guess is that next year we have some sort of a reset in the economy. Although I don’t foresee a 2008 catastrophe, there will be some pain ahead for real estate. On the contrary, the survey respondents predicted that there will be no major reset in real estate prices over the next 4 years. I’m going to have to strongly disagree as I think there is a 100% probability that there is a big economic reset in the next 4 years.
Summary of the rationale behind the real estate reset predictions.
Here are the top comments:
- Still more demand than product in most parts of the country. Given time, the current administration will ultimately have a positive effect on the housing market, in turn, to the real estate world.
- The lack of new construction on single family homes will continue to constrain supply. And apartments are getting harder and harder to build in Colorado with state and local regulations and city approval processes. Will just keep driving prices up.
- By the time all these insane policies make their impact it will be 2027. Now the economy is behaving like it is bipolar but by 2027 the meds will kick in and reality will become apparent.
- Prices have already been depressed
- Losses over the next 3-5 years will be for those that have to sell. The equity build-up over the last 5 years, together with mostly conservative loan approval metrics, suggests selling short of debt isnt likely. Multifamily in over supply cities are facing 5-year fund sunsets; these folks will have to sell or recap. Patient money is buying right now.
Key insights on where real estate prices go from here
Thank you everyone for your participation and insights in my survey. The insights in the comments from readers was amazing and I hope everyone gained a good perspective from your fellow readers. My key takeaway from this survey is that there could be a scenario where due to market constraints that housing comes out considerably better than myself or anyone else is predicting. Unfortunately we don’t know yet what will happen, but my gut still says that we are at the peak of this market with downward pressure on prices.
We will have to wait for better data to see how it all shakes out. Thanks again and stay tuned for upcoming surveys 😊
Additional Reading/Resources:
- https://www.fairviewlending.com/when-will-real-estate-crash-or-will-it/
- https://www.fairviewlending.com/what-does-the-iran-war-mean-for-real-estate/
- https://www.fairviewlending.com/has-the-economy-lost-its-mind/
- https://www.fairviewlending.com/will-mortgage-rates-fall-in-2026/
- https://www.fairviewlending.com/where-should-you-invest-in-real-estate-in-2026/
- https://www.fairviewlending.com/fed-drops-rates-why-did-mortgage-rates-barely-budge/
- https://www.fairviewlending.com/phantom-debt-soars-what-does-this-mean-for-real-estate-2/
- https://www.fairviewlending.com/never-buy-a-residential-condo/
- https://www.fairviewlending.com/the-war-on-landlords/
- https://www.fairviewlending.com/house-prices-hit-another-record-should-you-even-care/
- https://www.fairviewlending.com/root-cause-of-real-estate-price-declines/
- https://www.fairviewlending.com/will-real-estate-fall-to-2020-values/
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Glen Weinberg personally writes these weekly real estate blogs based on his real estate experience as a lender and property owner. I’m not an armchair reporter/writer. We are an actual private lender, lending our own money. We service our own loans and own commercial and residential real estate throughout the country.
My day job is and continues to be private real estate lending/ hard money lending which enables me to have a unique perspective on the market. I don’t accept any paid sponsorships or ads on my blog to ensure accurate information. I’ve been writing this for almost 20 years and have over 30k subscribers. Please like and share my blogs on linkedin, twitter, facebook, and other social media and forward to your friends 😊. I would greatly appreciate it.
Fairview is a hard money lender specializing in private money loans / non-bank real estate loans in Georgia, Colorado, and Florida. We are recognized in the industry as the leader in hard money lending/ Private Lending with no upfront fees or any other games. We fund our own loans and provide honest answers quickly. Learn more about Hard Money Lending through our free Hard Money Guide. To get started on a loan all we need is our simple one page application (no upfront fees or other games).
Written by Glen Weinberg, COO/ VP Fairview Commercial Lending. Glen has been published as an expert in hard money lending, real estate valuation, financing, and various other real estate topics in Bloomberg, Businessweek ,the Colorado Real Estate Journal, National Association of Realtors Magazine, The Real Deal real estate news, the CO Biz Magazine, The Denver Post, The Scotsman mortgage broker guide, Mortgage Professional America and various other national publications.
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