The media blame game

Maybe it's natural for real estate industry frustrations to intensify in an environment with slowing sales and falling home prices. Worries about media coverage of the housing market downturn have in some instances boiled over into industry uproar about "negative" news and its impact on consumer perceptions. In some cases, industry professionals have suggested that the media is contributing to the downturn by feeding into consumers' fears of market conditions. (See Inman News report.)

The mantra of location, location, location applies here: industry professionals say it's important to remember that local real estate markets are unique. There are markets that are experiencing good, bad and ugly times these days, and national news coverage can overlook the counter-cyclical markets.

Some industry trade groups are investing in PR campaigns to pump up consumer confidence in home purchases. Such efforts seek to dissipate consumers' fears about market uncertanties and attract favorable media coverage about the state of the housing market.

The media, meanwhile, has a challenge in accurately covering national and local real estate market news and keeping its readers informed about actual market conditions. To the media, news is news -- consumers and industry professionals can decide for themselves what's "negative" or "positive" about that news and react accordingly.

A real estate agent who specializes in selling REO properties may find opportunity in a market with slumping home prices, just as an agent who works with first-time buyers may struggle in a market with tightening lending practices and high home prices.

Timely and accurate market information is especially important to consumers and real estate professionals alike when the real estate market slows. And while there can be clashes when media coverage conflicts with industry interests, could there be a common ground among industry and media professionals to provide accurate, timely and spin-free information to consumers about market conditions?

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