Housing Market Projected to Slip
Many folks are now fretting that housing might enter the stage similar to the one experienced in the 1990's- the tech-stock 'bubble". This is because of the many headlines hinting that the housing market may no longer be able to overcome the gravity.
The Chicago Mercantile and Chicago Board Options, the two leading commodities exchanges, will be unveiling housing futures and options markets this month. The goal is to allow investors bet whether the home prices will rise or drop in select metropolitan areas. The two exchanges will target high institutions and high rollers for their housing futures markets.
Glenn Mueller of Dividend Capital Investments in Denver said that the steep entry price of playing futures markets is one big reason why financial advisers do not recommend average investors to place their money on U.S. housing futures markets. He said that average investors would benefit indirectly from housing hedges through their pension, mutual fund holdings or mortgage lender if the U.S. housing futures will prove to be workable.
By M. Sese
Miami Real Estate