Question: Have you seen the media coverage about the seller’s market?
If I had a dollar for every time I have been asked this question in the last week and a half, I would at least have 30 bucks! Hey, that’s enough for a great lunch.
The article that ran last Saturday in the Star really has people talking. Here is a link if you missed it.
For those of you who visit our column weekly, this article was nothing new for you. =If you are new to our column here on the PV Post… stay tuned in every Friday. A goal of our team is to provide relevant and rich real estate information in this column, and in real time. So here we go.
The Star story provided several different perspectives and helps spread the good news. By good news, I mean the news that a home purchase is still a great investment. In our area of the country it always has been. Even after suffering the down market, real estate in our area is a wonderful investment. Real estate, unlike most investments, does not suffer the volatility that most investments are subject to. Sure there are cycles of value, both high and low. But if you look at a long term trend line of values (like the one below) you will see that nationally the volatility is not very high. At the end of 2012 is was predicted that prices were still undervalued by 23.8 percent. If most of us look at our investment portfolios from the last few years of the recession, a 23.8 percent loss of value over time is not much (comparatively speaking).
Remember, I said that prices were undervalued by 23.8 percent at the end of 2012. That is not the case today. Here we are in May of 2013 and values are jumping up for the first time in years. AND interest rates are still incredibly low. If you have ever considered investing in real estate, now is the time. Whether to invest in a personal residence for yourself, or to purchase rental income properties. Money is cheap and the rental market is hot. Most of my clients with rentals are seeing a zero vacancy rate. As soon as a home is advertised for rent, it is rented. And typically with multiple interested parties. Kinda sounds like both the re-sale real estate market and the rental market are experiencing the same effects of a housing recovery.
If you would like more information about real estate investment, please e-mail me and I will send you a copy of an incredible book call HOLD: How to find, buy, and rent houses for wealth. It was written by real estate agents who specialize in purchasing and renting investment properties. It is brilliant. I would love to send you a copy, free of charge.
This weekly sponsored column is written by Chad Taylor of the Taylor-Made Team and Keller Williams Realty Key Partners, LLC. The Taylor-Made Team consistently performs in the top 3 percent of Realtors in the Heartland MLS. Please submit follow-up questions in the comments section or via email. You can find out more about the Taylor-Made Team on its website. And always feel free to call at 913-825-7540.