The real estate industry keeps maturing as time goes by, but a small number of agents get to acquire the larger shares of the market. As the housing and property development sector tries to recover, very many markets in the US keep experiencing the ripple effects. According to the report by RealtyTrac, right from September 2008, the median sale price of single family house had risen to the highest level. This led to foreclosure of a number of traditional buyers who were not ready to compete.
According to Stan Humpire, the real estate market value will slow down to approximately 3 percent per year thus making the real estate business less attractive for the big investors. The tables are now being turned and the negotiating power has shifted from the sellers back to the buyer. More so this industry has faced competition from the skilled labor, high demands fro corporate responsibility.
Thus, the answer to our question, is the real estate market shrinking?, would be yes. This is because the market has experienced a lot of shrinking land supply in very many centers, making it very difficult for them to develop even more.