(PRWEB) September 23, 2012
Real Estate Marketing Insider issued their comments about the notion that a housing recovery will have a positive effect on consumer spending today, and his opinion is that this will help home sellers and online estate agents, who may find that buyers who feel they got more equity out of their home are willing to pay higher prices and explore Internet real estate marketing.
The Wall Street Journal recently published an article examining the potential role that a housing recovery will have on consumer spending. This is prompted by news from the U.S. Federal Reserve that home values have increased by 2.1 percent. This brings them to the highest level they have been at since the beginning of the 2008 economic collapse. At the same time, many homeowners are finding that they are no longer underwater, owing more on a home than it is worth. With higher home values, experts see a correlation between them and higher amounts of consumer spending. An expert from Unicredit Bank suggests that rising home values will have a positive effect on the U.S. Gross Domestic Product for 2012. This is helpful because the early part of 2012 saw a drop in housing prices that many experts consider the bottoming of the real estate market and the current rise is sign as the first part of a real recovery.
The United States Federal Reserve is a fairly autonomous organization within the U.S. government that is tasked with spurring the economy in times of economic crisis. Part of this mandate involves raising or lowering interest rates, including mortgage interest rates. Recently, the Federal Reserve announced that it would be buying mortgage-backed securities in order to boost the economy. The Federal Reserve draws frequent criticism and suggestions from some politicians that it be dismantled.
Unicredit Bank is focused mainly in Europe and headquartered in Italy. The origins of Unicredit are in the merger of several different banks in Italy starting in 1998 and continuing through 2007. Unicredit has also acquired some German banks. As it increases in size, it has been able to expand into more countries, including some in Asia.
Gross Domestic Product is a term used to describe the value in a monetary sense of everything that is produced, including services in a country within a given period of time. This number is often divided by the number of people living in a country to determine GDP per capita, which is used to evaluate a country’s standard of living.
Real Estate Marketing Insider today commented on the news that a housing recovery will restore consumer confidence and cause them to spend more.
About Real Estate Marketing Insider:
Real Estate Marketing Insider provides real estate agents, buyers, and sellers with helpful tips regarding home sales, industry news, market trend analysis and much more. The publication is based out of La Jolla, CA.