The Real Estate Business - Essay Example

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The Real Estate Business

Real estate business as other businesses has its challenges. Inflation can affect the businesses to a point of closing them down or operating on losses. The recession in the U.S economy has affected the real estate business. The residential housing Market has turned around. For instance, the Gross Domestic Product growth in the U.S declined from 4.9% in the third quarter to 0.6% in the fourth quarter of 2007. Unemployment rate has gone up, and this has seriously affected the lifestyle of people in the U.S. spending becomes a problem, and most people go for cheap product even in personal consumption (Lynn, 2009). In the U.S, real estate business is facing a formidable challenge, and this affects the country and global economic growth. Investment in the real estate business has been affected by the finances and lending institutions. The for- sale housing market has had an enormous challenge, and the business is going down. This is as a result of low affordability, tight lending standards and excess supply in many regions. When a country is going through a recession, the market finds itself in the bad shape. People refrain from buying the products in the market because their spending power is weakened (Lynn, 2009). ...Show more

Summary

The real estate business Name: Institution: The real estate business Introduction In every business ventured into, there are legal actions taken into account. For one to enter into the business world market research is crucial, and this will help the business men or company to understand the restrictions, and processes to be followed in order to set the business…
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