The Real Estate Market Cycle Investors must develop the ability to understand the real estate market cycle in order to create effective investment plans and maximize returns. The housing market is heavily affected by numerous factors, such as the general economy, demographics and interest rates. These variables may also be drastically affected by major events that take place nationally or internationally. The Expansion Phase When the economy is in expansion, real estate developers can start construction. At this time, GDP growth is high, job creation is strong and housing supply-demand balance exists. Furthermore, now is an excellent time to invest in property due…