Saw Tooth or Zig Zag Recovery ? ?
Related Posts: Credit & Finance, Real Estate News, Real Estate Sales
hiSome housing experts now predict what one calls a “saw-tooth bottom” to the housing market, driven by a shadow inventory that could include up to 4.5 million properties. This shadow inventory is more than just bank-owned homes not yet on the market. It also includes sellers who would like to sell but, fearing they can’t, are waiting for signs of a market bottom before putting their homes on the market. Some say this rush to sell will add inventory to the market and at least temporarily drive prices back down – hence, the “saw-tooth” description. Years ago this was desribed as a “zig-zag” trend that if you average the past 6 months on a curve it will be as it really is…..slow but steady recovery.