Second homes languish as shadow inventory looms

3 key factors holding back buyers

I continually find myself tempering the exuberance of homeowners who are absolutely dead set on the idea that all home values will soon appreciate.

The latest example occurred on a long bicycle ride around one of my favorite mountain lakes. I try to make the trip a few times a summer, but the weather and writing deadlines often get in the way. This past week, I was aware of a rising number of for-sale signs (both national firms and FSBOs) on lakefront homes. One particular home had been on the market at least two years, and a "price reduced" label hung from the bottom of the sign.