Forgive my recent infrequent blogging. I am currently at the annual national Keller Williams convention in Florida; soaking up everything I can learn about the real estate market.
Yesterday, company co-founder Gary Keller shared with us his interpretation of the current real estate market, and the data that supports his position.
Keller believes in order for the economy to heal enough for us to regain housing values we saw in the mid 2000’s, the nation needs to solve our unemployment problem.
While the recent drop in unemployment figures to 9 percent is encouraging, Keller maintains we need to create somewhere between 356,000 and 360,000 new jobs a month, in addition to the 150,000 a month we’re currently adding, for three years in order to get back on track.
That’s an average of 4000 additional new jobs per month per state, on top of the growth we’re already experiencing.
What does this have to do with duplexes?
In short, while Keller believes we have reached the bottom in the housing market, he also doesn’t see rapid appreciation in duplex or home values any time soon.
Rather, he believes we’ll bump along the bottom for 8-9 years at best.
I hope to get a full copy of his report in the coming days, and will share more of his forecasts for the real estate market in the coming months and years.