Yet few of us understand what goes into the making of a news story. “NAR in the News” will give its readers a peek behind the scenes into how journalists cover the nation’s largest trade association and the 1.2 million REALTORS® it represents.
This blog is also a place for REALTORS® and others to express their opinions and ask questions that we will try to answer. “NAR in the News” is produced by NAR’s Public Affairs Division.
This blog is provided by the National Association of REALTORS to provide visitors/members with information about NAR's news coverage and the opportunity to comment on real estate issues in the news.
NAR disclaims responsibility for any of the content or opinions expressed on this blog, including, but not limited to content or opinions regarding any products or service mentioned on the blog.
NAR disclaims liability for any damages or losses, direct or indirect, that may result from use of or reliance on information contained in the blog.
This blog contains links to other Web sites operated by third parties. These links are provided as a convenience to access the information contained therein. NAR has not reviewed all of the information on other sites and disclaims any responsibility for the content of any other sites or the products or services that may be offered on or through those sites. Inclusion of a link to another site does not indicated any endorsement or approval of the site or its content.
NAR reserves the right to edit, remove or deny access to individuals or content that it determines to be unacceptable, including, but not limited to, any abusive, profane, rude, defamatory, or anonymous comments.
Comments
"Wise to wait until 2007"? I guess I will take my vacation now.
Posted by: David Silver-Westrick | May 10, 2006 10:28 PM
Can't find the article with Lereah's 2007 quote. Does anyone know where/what section and what date this was stated since I'd like to read it in full. Mahalo.
Posted by: Realtor Akiko | May 10, 2006 11:31 PM
It'd be nice if you could title the blog posts on what they are instead of generic 'news summary'. Just my 2 cents, but I'm looking forward to more blog posts from NAR.
Marty Martin
REALTOR
Roanoke, VA
Posted by: Marty Martin | May 11, 2006 08:56 AM
As you can see from the full article below, Mr. Lereah was speaking specifically about investing in the Florida market, not real estate markets generally.
St. Petersburg Times(Florida)
May 6, 2006 Saturday
NATIONAL; Pg. 2D
Silver lining seen in the real estate cloud
JAMES THORNER
Sluggish real estate appreciation getting you down? Don't think of the
housing market as sick. Think of it as convalescent.
David Lereah, chief economist for the National Association of Realtors, regards 2006 as the year a fundamentally healthy real estate market purged itself of toxins.
In other words, in many markets, it's probably wise to wait until 2007 to
reinvest in housing and land, Lereah (pronounced Le-RAY) said at a in Lakeland of more than 100 land owners, bankers, appraisers and developers
from West and Central Florida.
"The market is being cleansed. It's getter healthier. We're getting rid of the germs, the speculators," Lereah said during a program titled "Florida Land: Is the Gold Rush Over?"
It was almost inevitable, during a five-year real estate boom, that
speculators would infect the market with a stock-style fever, blurring rational decisionmaking. Now those short-term investors are leaving the market, pursuing
other investments.
In Lereah's view, Miami's real estate appreciation, which averaged 45 percent over the past four years, is symptomatic. He compared such a market to the late 1990s hype for stocks like Lucent and Qualcom.
"We're not supposed to go crazy in the real estate world," Lereah said.
"We're supposed to go crazy in the stock market."
There's good news for the Tampa Bay area in all of this. Lereah said Florida remains the market with the strongest "gravity": the favorite retirement
destination of late career baby boomers. (Though hurricanes could encourage
alternatives like Arizona and North Carolina.)
Tampa-St. Petersburg, Fort Myers and West Palm Beach avoided the rampant
overconstruction and speculation afflicting Orlando, Miami and Naples, Lereah
said.
"You're not going anywhere. You've got a good future," Lereah said, touting projections showing Florida, by 2030, absorbing new residents equal to the populations of Pennsylvania and Maryland.
That doesn't mean the short term will be pretty. Lereah predicts prices will slip in many parts of Florida as a buyers' market takes hold and sellers revise their expectations downward.
Posted by: NAR | May 11, 2006 09:39 AM