It is all doom and gloom, aces and eights in the economic picture including, of course, the real estate market. Never been worse? Not hardly. To highlight this and give us better perspective and some hope towards the future, I wanted to share something that was pointed out by Dennis Gartman, a well respected market analyst. Back in 1992, an article in Time Magazine included this passage:
"The US economy remains almost comatose. The slump already ranks as the longest period of sustained weakness since the Depression. The economy is staggering under many 'structural' burdens, as opposed to familiar 'cyclical' problems. The structural faults represent once-in-a-lifetime dislocations that will take years to work out. Among them: the job drought; the debt hangover; the banking collapse; the real estate depression; the health care cost explosion and the runaway federal deficit."
It's amazing how eerily similar the picture from 1992 compares to today. We all know that the period following 1992 included terrific growth and opportunities in the economy, stock market and housing. If history repeats itself, which it often does, this could point to much better days in the future with opportunities in the present.
There is a light at the end of the tunnel and it isn't a train....
Thanks to Mark Long of Evergreen Home Loans in Bend, OR, for this insight. There is indeed light at the end of the tunnel. It's been a busy month!!!