The selling season...Everything goes up…
Rates. Prices. Money availability. Inventory. Realtors’ stress levels.
Realtors live for the Spring, and so should sellers. If there is to be a seller’s market this year, it will be in the Spring. Here are some newsworthy items for you to consider:
1. Nearly 40% of repeat home buyers are keeping their first home (or their last one). Why? Because smart people know that real estate is the ONE investment that you can get someone else to pay for. When you partner with a bank and then rent your property, the tenant pays for it. This is why some of the smartest investors in the world own investment real estate (think Warren Buffett--who also owns a very large real estate company). You can do the same thing, just by holding on to that first property you bought, and then buying a bit “less” the second time around. In fact, if you choose to do it, you can keep every property you buy, and never sell. In that way, it won’t matter nearly so much what your 401K does. My mother bought two properties for herself and my Dad as investments, and they were in the family for 40 years. At the end of my Dad’s life, they paid about half his total income in retirement, and gave him an outstanding life.
2. If you’re going to sell this year anyway--it’s a good year to sell! Here’s why:
Prices are up. And they are relatively stable.
Money is much easier to get, and it’s still cheap.
There are fewer homes in “play” than in prior years, and the “investors” (read “buy cash for less”) are fewer. You will have an easier time selling for a top price.On the other hand:
The advantages of owning two properties are many: Houses pay off. When the second home you own is paid off (hopefully by faithful, paying tenants), you will have an excellent source of extra income. At the present rate for homes in the East County, you can expect to gross $20,000 per year or more, just by having one extra house that you rent out. In addition, prices go up. Even if they did not, having a 3rd party (your tenant) make your investment for you is extremely attractive--but the appreciation is icing on the very yummy cake.
Isn’t it time to buy something for your future??