When are we going to hit bottom, and how will we know when we get there? Nobody knows, and we won’t. There are many indicators that we are close or that we are there, but still many agree that we have some way to go. Some speculators say that we still have a huge foreclosure swing to get through and that it may take 12 to 24 months to get through it.
One of my favorite magazines, Business 2.0 (stinks it got canceled) featured an article on how to take advantage of the current market conditions in its last issue. Titled “How to Play the Real Estate Bounce-Back”, it discusses 10 US cities that are poised for an immediate bounce-back. Amongst the 10 are bid cities such as Dallas-Ft. Worth, New Orleans, Atlanta, Montgomery, Austin and Houston. The article talks about “bounce-backs”, but I would argue that non of these big cities really experienced the frenzy that many of us were quite familiar with over the last couple of years. Each city has an average growth rate over the next two years of 5.5% with Dallas having the greatest rate and St. Louis having the lowest rate.
The article can be found here.