So remember when Full-time MBA student Justin Vavroch presented his insights about the Phoenix real estate market last spring? He said homes were selling like hot cakes. He would find one on Wednesday, and when he was making a bid on Saturday, it was already gone. Well, he knew more than the market. Front page of the Wall Street Journal yesterday caught up with Justin. They described the tightening of the housing market, particularly the starter types of homes.
Other than being a telling example of always be aware of your surroundings for economic insights, it could portend even more positive news. Any time Warren Buffett is asked about the economy, he says it will truly rebound when housing rebounds. Are we there? Oh, and didn’t personal income go up 0.5% last month. Just sayin’….
Do you think the surprises will be on the upside? If you were CEO of Kohler, or Fortune Brands or other companies tied to the home building industry, are you looking to grow? How are you planning for the upcoming year? If you were an analyst, would you upgrade housing stocks right now?
Inflection points never advertise themselves. It takes guts to believe. Do you?
And props to Justin for beating them all!