Despite the ominous gloom and doom portrayed by the media, there is still a movement of real estate across the country. With job transfers, life changes, and the quest for the uncharted path in life comes the need for housing. 

 

Historically, there are eerie similarities that seem to have been repeated. People compare our market to the Great Depression. The facts are failing interest only loans issued preceding and during the Great Depression were replaced with fixed rate mortgages which became the norm until the early 2000’s. Economists warned government officials in years preceding 1921 of the impending issues that failing capitalism would bring. The educators and intellectuals of that era leaned toward socialism and ignored the warnings of the economists. Sound familiar?

 

Those who made money during the Depression of 1921 were those who continued to build their wealth, to provide goods and services that people depended on such as household goods and housing. Investment groups were born as people pooled their hard earned savings to acquire housing and income producing properties. Landlords became popular. Seller financing increased and in most cases it created win-win scenarios for home-owners and property owners. Today, we are getting back to the basics, we are getting creative, and we are selling homes and real estate. What seems so new, is not so new!

 

The good news is, there is still affordable housing. There are homes for sale that are NOT short sales or foreclosures, that can be bought for reasonable prices. Can you expect a homeowner who has cared for their home, maintained their home and responsibly acquired equity in their home to give this home away for prices comparable to those who have not – the short sales and foreclosures? This is not true comparison shopping. If you are shopping for bargain basement properties, go to that market, if you are shopping for quality and value shop in that market. There is a huge difference in the distressed sale and non-distressed sale and their expected closing times. Be specific with your Realtor and be realistic in your expectations of time involved to acquire your property.

 

The nuts and bolts of the market are this... it’s a great time to buy, it’s still a good time to sell and realize a reasonable profit if you are not over-extended or credit-challenged and have gained steady equity during your period of ownership. If you have not, that is where a Realtor can help you get creative and explore your options for selling and purchasing.