Effects Of The Real Estate Market Essay

827 Words Dec 14th, 2015 4 Pages
The economy took a turn from the worst when there was a crash in the markets. This crash in the real estate market had a significant effect on many families throughout the country. Effects that would have a huge impact on their lives. The impact of the negative effect of the real estate market made it hard for individuals to buy and sell houses at the time. Houses went to below 25% of the peak level in 2006. People had trouble paying their bills and could not manage their money. This crisis led to our awareness of what could happen to the market at any given time. People use houses in many different ways than they used to. Traditionally, people bought a house to live in until they died and then passed it on to someone in the family. That is not quite the case in most instances today. Now, people are using houses as investments options. They are buying property in the hopes of increasing its value within the next few years. People want to put down a certain amount of money on a house, make payments, and wait for a good time to sell it to make money. Although most of the times this could be very rewarding, there are times where it doesn’t go in the direction you would have expected it to go. You cannot predict what the market is going to do. Prices can rise just as quickly as they can fall. An interesting thing that we have to take into consideration is that the cost that you bought your home at may be significantly different than the cost you can sell it at within a given…

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