The Cause And Effect Of The Real Estate Industry

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THE CAUSE AND EFFECT OF THE REAL ESTATE INDUSTRY The Cause and Effect of the Real Estate Industry DaJuana Miller-Bogan Comm/105 University Of Phoenix November 9, 2009 THE CAUSE AND EFFECT OF THE REAL ESTATE INDUSTRY Working in real estate for the past 10 years, was wonderful until the last year and a half. The current economy has been faced with challenges by the real estate industry that has been overwhelming for the economy. The economy has been a rollercoaster with its sets of ups and downs. The downfalls of real estate started about five to six years ago with the many different mortgage programs that were set up by the mortgage companies and lenders. With all the adjustable rate programs, it started the downfall of the mortgage industry even though we did not feel the effect until three to four years later. The mortgage companies and lenders implemented several programs which back fired on the industry, which has caused a negative effect on our economy. Many real estate professionals sat back helplessly knowing this was going to happen, it was nothing we could do to stop this avalanche affect from exploding causing a ripple effect on the economy. The downfall of the real estate industry has triggered a negative cause and effect on the economy. Real estate plays such an enormous role in the survival of our economy which is why it is important it does well in order for our economy to prosper. The downfall of real estate caused several industries to take a turn for the worst, starting with the housing industry. The housing industry received the biggest hit due to the downfall of real estate industry. Many of the employees that are either working in the construction side or are, employed by the many different sectors of the housing industry. With the housing industry taking a turn for the worst it caused many layoffs and job losses
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