Housing Declared Bottoming in U.S - Essay Example

Housing Declared Bottoming in U.S. The article Housing Declared Bottoming in U.S. by John Gittelsohn and Prashant Gopal is an evaluation of the U.S housing market in the recent times. This follows all-time decline in house prices, with significant observed scenario of improved house demands in the market. The house market bottoming is a worst case scenario since the 1930s, necessitating a critical analysis of different factors that led to this phenomenon (Hull 121). Numerous economists, house market experts and business analysts are presented, each of which acknowledges the deterioration of business in the U.

S housing market. The central issue in the article is the state of the U.S housing market this year, prior to past trends and expected outcomes in future. The market’s collapse hits a bottom position in the 20th and 21st centuries, but different stakeholders show their optimism towards recovery and sustainability of favorable business in the market. Confidence of consumers, home seizure trends, supply of foreclosure and market healing processes in 2012 (Keith & Short 89) are central to the interest of the article.

Different views are aired but one thing is for sure; the housing market’s performance is poor, with unpromising months to come due to recovery allowance period.The housing market’s recent performance is the issue at hand. Past recorded prices and house demands are not comparable to the current situation. The tortoise speed increase in demand is shedding some light to improved sales, but the optimal functionality of the market is far from being realized. The author’s point of view is not different from those of contributing stakeholders, evident that the housing market is on the verge of collapsing if not already collapsed.

However, the author is one of the optimistic stakeholders, arguing that the market is taking a stable aspect and that its recovery is or will be sustainable in the next few months. The author’s opinion is substantiated by drawing evidence from numerous experts in housing matters.The housing market in U.S is actually bottoming. Hitting an all-time low since 1930s means that the trough has already been realized. This means that the article is right, and this is because the claims of the article are actually backed by evidence from various housing variables in the market.

The claims presented by various parties including the author are right. The performance of the market is poor, with low response to recovery strategies (Olivier 150). Data has also been employed to reinforce the claims. All interviewees cite data evidence and references to reinforce the underlying arguments about the U.S housing market.Works CitedHull, John. Risk Management and Financial Institutions. New York: John Wiley & Sons, 2012.Keith, Bassett & Short, John. Housing and Residential Structure: Alternative Approaches.

Michigan: Taylor & Francis, 2012.Olivier, De Bandt. Housing Markets: A Macroeconomic Perspective. New York: Springer, 2011.