Savings and Investments

Investing in Real Estate

What are some factors that affect the general prices of houses?

On a macro level, the prices of houses follow the basic economic principle of supply and demand. The more houses there are for sale, the lower the price. The more buyers there are for houses, the higher the price.

Since the housing collapse, it has been a buyer’s market and a seller’s nightmare. Many home owners are upside down on their mortgages, meaning they owe more than the value of their homes. If you are lucky enough to be entering the housing market for the first time, now is the time to buy!


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