When is the best time to buy real estate? I personally believe anytime is the best time to buy real estate. I hear frequently these days that it is a terrible time to be buying real estate. There is a lot of negative sentiment in the market, prices are falling, sales are slowing, foreclosures are sky rocking, etc. These are NOT things that should scare investors but should encourage and motivate investors.
Yale Professor Robert Shiller recently said “There’s nothing troubling about a gradual correction of home prices. If we keep our incomes at the current level and home prices go down we are richer, we can buy more housing,â€?
This should be an investor’s mindset right now. Investors should be cheering the slowdown because now we can buy more and by it cheaper.
The California Association of REALTORS ® recently released a study saying in the fourth quarter of 2007 a third of California households would be able to contribute a 10-percent down payment and be approved to purchase a home. This is almost a 10-percent increase over the same period in 2006. They cite the downturn in California’s housing market as the main contributing factor.
Now is a fantastic time to be a real estate investor. Don’t run for the exits like many investors but rather seize the opportunities that now exist. Don’t let your fears get in the way of this tremendous buying opportunity.
Posted by Carter Brown
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