Dec 11 2008
Foreclosures 2009: Look Into My Crystal Ball
With the year coming to a close, many companies and researchers are eager to predict the outcome of the 2009 market. With the economy hovering in a state of uncertainty, the upcoming New Year is on everybody’s mind. Real estate especially has seen a tumultuous year with the rise and fall of foreclosure rates, although the industry has seen more increases than decreases.
Foreclosure listing companies have offered a variety of foreclosure statistics throughout the year. Some reporting more accurate numbers than others, but all in all giving their representation of the market. Now these companies, utilizing their data and statistics collected throughout the year, will offer their own predications for real estate in 2009. In true form, the predictions are on opposite sides of the spectrum.
An article published on December 10, 2008 titled, “Prediction: market to recover in 2009,” offered one foreclosure forecast. According to the article, Alexis McGee, president of foreclosureS.com, stated that “Based on November’s foreclosure rates …the nation’s foreclosure hemorrhage has finally slowed and 2009 should see a significant decline in foreclosures as buyers return, pushing home prices up and fueling a real estate recovery.”
However, according to a different article, a competitor thinks differently. This article from Bloomberg titled, “Foreclosure Storm Will Hit U.S. in 2009 as Loan Changes Fail,” offers a prediction from Rick Sharga, vice president of marketing for Realty Trac.
The article quotes Sharga as stating, “We’re going to see a pretty significant storm next year.” The article continues, “Rising unemployment, expiring foreclosure moratoriums and state efforts that ‘run out of steam’ will push monthly filings toward the record of more than 303,000 set in August.”
As this Foreclosure Research title suggest, not even foreclosure experts truly know what will happen in the coming year. If accurately reporting present and past figures has proven to be a vexing task, then predicating the future is pretty much impossible.
