Open house traffic for this past rainy Sunday was the strongest all year. Our retail storefront has been very active with buyers and renters who seem to be real, and not vultures. Buyers are starting to realize that this is their market. Sellers, who are sophisticated enough and refuse to remain in denial, are listening. Mortgage rates are historically low. The market seems to be finding a level. A level where buyers are starting to step in, and a level some sellers are willing to accept. This is refreshing.

The market over the past eight months has been hit hard and hit quickly. It has acted dazed and confused (along with the cast of characters who interact in it). It seems to be finding its equilibrium and the dust is settling. Deals are being made at varying levels that show both sides have made adjustments.

Are we there yet?……  It depends on what your destination is. I know that the only way to confirm that you’ve reached your destination is by looking in your rear view mirror. This is difficult to time – possibly impossible.

Our April Realtime Report certainly hints that this market is opportunistic. Let’s see what happens in May…….

Breakfast anyone?

There are more similarities in these two names than one might think. If you’re into numerology, you’d notice that both names are spelled with an unusual combination of a consonant, followed by a vowel, followed by two consonants….you get the idea.

“Be fearful when others are greedy and greedy when others are fearful.” said Buffett. Historically, this has proven to work wonders for him (for the most part). He ranks number 2 in the United States with an estimated net worth of $50 billion.

During the depression, Kelloggs and Post (the cereal companies) took two different paths. James Surowiecki eloquently wrote a piece in this past week’s New Yorker about this. Kelloggs, with their contrarian business model proved to be more successful. As we continue to grow our company organically in this market, I find myself asking mentors about this philosophy. They all overwhelmingly agree with Buffett and Kellogg, although it’s always easier to give this type of advice from the outside looking in.

We are clearly in a buyers market which means that those who are brave (and smart) enough to take advantage of this historic moment, should come out long term winners. My advice, from the inside looking out, is to seize this moment and embrace the opportunites this market brings. I know there will be some echo’s of 1998 to 2006 where the bears were saying “I could have, should have, would have…” 

Don’t be a foolish bear. Be sly like a fox!