Will Real Estate Fall in 2008?

One of the biggest questions looming in the minds of homeowners and commercial real estate investors for the year is whether the real estate industry will be able to make up for what it lost last year or will things get worse? Residential real estates experienced one of the most painful fall last year in decades. Default on loans, falling house prices, dropping home ownership, soaring foreclosures with the housing market emerging as the economy’s soft underbelly characterized the industry last year.

Commercial real estate started 2007 on a bright note until it went the other way around with tightening of credit and values of commercial properties going down for the first time in several years. Commercial real estate includes properties in the market like apartment buildings, offices and shopping centers.