Well I wish I could follow up this morning's post with gumball rain drops and chocolate for everyone, but unfortunately Candyland is not real and we must objectively evaluate the market for better or worse, and right now worse looks prominent. To the left is a breakdown of industries and the estimated value for March of last year and April of this year.
These projections are to say the least not good. Considering real estate financing is currently dependent on full income documentation and verification of assets, assuming these projections are accurate we will see a significant retraction in the stock market, which could lead to additional unemployment (companies no longer have the capital to support staffing) which would lead to less qualified buyers while putting additional stress on current listing due to the possibility of a new wave of foreclosures.
Now some of you may be thinking, but Obama's new plan will help people unemployed make their mortgage payments, and even reduce the principle balance on their home relieving some of the pressure the real estate market now faces keeping new foreclosures from reaching the market. Let me be clear about this Obama plan... banks are NOT participating; to date I have not been able to find one lender that is offering this to borrowers.
What does this all mean moving forward? We're not out of the woods. A solid marketing plan and a reliable follow up system for your current clients is going to be a must have if you want to succeed in this coming market. I do not see lending guidelines loosening any time soon so the name of the game is going to be client retention. Unparalleled service is going to be critical because retaining qualified borrowers looking to buy will mean going above and beyond expectations. Are you prepared to WOW your next client?
Your comments and feedback are welcome.
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