There are times
when the economy is brisk and everyone feels confident about his or her
prospects for the future. As a result, they spend money. People eat out
more, buy new cars, and….
…they buy new
homes.
Then, for one
reason or another, the economy slows down. Companies lay off employees
and consumers are more careful about where they spend money, perhaps
saving more than usual. As a result, the economy decelerates even
further. If it slows enough, we have a recession.
During such
a time, fewer people are buying homes. Even so, some homeowners find
themselves in a situation where they must sell. Families grow beyond the
capacity of the home, employees get relocated, and some may even find
themselves unable to make their mortgage payment - perhaps because of a
layoff in the family.
