6 Signs of a Market Rebound

No one can predict exactly when the commercial market will take a turn for the better, but we asked NAR's Chief Economist Lawrence Yun to tell us what ecomonic signs provide clues of a rebound.

April 1, 2009

When you see several of these signs, you can feel confident better times are on the way.

  1. The number of people filing for unemployment falls, and office net absorption begins to turn positive.
  2. Bank balance sheets stop showing nothing but losses, and interest rates on commercial mortgages and construction loans decline.
  3. Home prices stabilize. Housing’s recovery is critical to a sustained economic recovery.
  4. Consumer confidence rebounds. This is a key indicator for retailers.
  5. Companies begin hiring temporary workers. Temps are often the first step companies take when orders increase.
  6. REIT share prices rise. These stocks often lead a real property recovery.
Lawrence Yun
Chief Economist and Senior Vice President of Research at the National Association of REALTORS®

Yun oversees and is responsible for a wide range of research activity for the association including NAR’s Existing Home Sales statistics, Affordability Index, and Home Buyers and Sellers Profile Report. He regularly provides commentary on real estate market trends for its 1.3 million REALTOR® members.

Dr. Yun creates NAR’s forecasts and participates in many economic forecasting panels, among them the Blue Chip Council and the Wall Street Journal Forecasting Survey. He also participates in the Industrial Economists Discussion Group at the Joint Center for Housing Studies of Harvard University. He appears regularly on financial news outlets, is a frequent speaker at real estate conferences throughout the United States, and has testified before Congress. Dr. Yun has appeared as a guest on CSPAN’s Washington Journal and is a regular guest columnist on the Forbes website and The Hill, an “inside the beltway” publication on public affairs.

Dr. Yun received his undergraduate degree from Purdue University and earned his Ph.D. from the University of Maryland at College Park.