SW: 'Optimistic' Buyers May Be 'Disappointed'Posted on Monday, July 30th, 2007 at 5:08pm.
Our most recent post discussed one MB home that is almost certainly worth less than what the owners paid last year.
Now, we have the official line from the major regional realty firm. In a July 24 press release, Shorewood owners Arnold Goldstein and Larry Wolf are quoted (once again jointly) in support of the release's claim that "results for June continued to demonstrate the South Bay’s resilience in the face of downward trends seen elsewhere." Cue Arnold & Larry:
We continue to be optimistic that South Bay home prices – particularly in the more affluent beach communities – will remain strong, and that buyers waiting for major price declines may be disappointed. It all comes down to continued strong demand, limited supply and the overall desirability of these markets. [emphasis added]Now, it's no surprise that the party line would be optimism. (They've already called the bottom.) But are they really saying they want a whole class of buyers to be "disappointed?"
If you are buying or selling a house in the South Bay, Shorewood is likely to be involved in at least half the transaction. But of course that doesn't mean the firm's owners can dictate market prices.
MBC wonders, wouldn't they recognize that demand might be getting pent up as buyer sentiment shifts toward pessimism as to future prices? By one reading, the surest way to get more action going would be to see prices slip.
MBC invites your comments on current and future market conditions. Let's get that going in comments attached to this post.
MBC's take: you don't have to spend long looking at the RE market to see that no one really knows what's next. But what buyers, in particular, think is next does matter.
And let's not make this about Shorewood or Kaye or anyone else. In this discussion they're just people with an opinion. What's yours?
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