No matter where you live, there have been dramatic changes in the real estate market in the past few years, and people are having a difficult time selling their homes.
One of the primary reasons I believe homes are not selling is the great number of people without jobs. According to the U.S Bureau of Labor Statistics, the unemployment rate is at 10.2%, the highest in 26 years. But the more realistic unemployment figures could actually be much higher.
The 10.2% figure does not include the Farm and self-employed workers who account for more than 7% of the work force.
The 10.2% figure does not take into account the the 14,000,000+ million "part-time-of-necessity" workers.
The 10.2% figure does not include the millions of people who are discouraged and have left the labor force.
The U.S Department of Labor, as well as several other economic groups place the "effective unemployment rate" at 17-20%. That equates to roughly 30,000,000 unemployed! Those people who do have jobs are obviously very cautious, especially when they see what has happened to some of their neighbors. It could certainly reduce their confidence level when it comes to buying a home. Although interest rates are very low, if you don't have an income, the rates could be 0% and you still won't be able to buy.