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Time to be sober, even if you are cool

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Learn the New Luxury Playbook at Luxury Connect | October 18-19 at the Beverly Hills Hotel

Editor's note: The following post was made by Inman News Publisher Bradley Inman on the Inman News Blog. Click here to follow the discussion this post sparked or to join in. Time to be sober, even if you are cool The housing market is suffering from slow sales and declining values and it has since late 2005. The downturn is caused by a credit squeeze on first-time buyers, a rapid climb in inventory, rising interest rates and a shakeout in the market, relieving it from speculators, fraud and too much liquidity. The next shoe to drop is the squeeze on real estate marketing dollars. While the newspaper industry enjoyed a temporary upturn last year as part of this, that is coming to an end. Why? Wallet size. Agents pay marketing; the people who wake up every day without a job and without capital to frivolously spend (except during a frivolous housing boom). Their wallets are nearly empty as the rewards from the boom thin out quickly. Fewer sales equal less commission dollars earned. With a...