Succeeding in a tough market, changing strategy. Sellers are unable to get their asking prices because of the slowing home sales and slipping condo prices.

If you are after a short-term gain, real estate is not for you. This was according to Christopher Mayer, a Columbia University economics professor who not long ago argued that land shortages and rising populations would translate into ever-rising prices in "superstar" cities like New York and San Francisco.

In Los Angeles, the median dream goes for 10 times the median income. According to Mayer, he said that with fewer people buying but plenty still hoping to cash out, prices in the most expensive markets could drop 15 percent in the next year, if mortgage rates rise another point.

On the other hand, a strong economy and job growth should hasten a return to a normal housing market in which prices rise just a bit faster than inflation.

By M. Sese
http://realestatepress.org