05/15/2022
Real Estate … when its good, its really good. When its bad … its still good because Real Estate never loses its value over the long term.
To the Sellers … you did GREAT!! Now is the time to sell. Why - you ask?!?? Simply because the market is right at the point of collapsing, and you will never get the same price for your home again - 50-100k above asking is ridiculousness … but its GREAT for you.This will never happen again in the history of real estate.
We all know what goes UP must come DOWN!!
My prediction is we have 6-9 more months before the housing market collapses and we are back to 2007.
Market has lotsa tell tale signs right now:
1. All the big players like Elon Musk etc are not investing - in fact they are pulling out.
2. Crypto currencies are tanking as a result of the above.
3. Interest rates are going up.
4. Rental rates are going higher and will continue to rise.
My advice to those who just bought their homes for above market prices - hold on to it, its gonna drop, but it WILL come back, it always does. 2007 I bought a home at the TOP OF THE MARKET. Not even 1 year later the market tanked. I was sitting with $179,500 mortgage on a home with a value of $50k. 5 years later the market corrected and my home was worth $225k and I was back on track. Capitalized on the market situation and bought another home for a GREAT price and converted my old home to a rental.
To those who sold their homes in this crazy market- hold on to your money, GO RENT - in about 2 years you will be able to get double the bang for your buck because those who bought your home now will stop paying their mortgages and create opportunities to pick up short sales and foreclosures. Those will be available in about 2-3 years!! Mark my words.
People with new mortgages who paid above market prices - hold on tight the market will correct. Its hard to pay a mortgage on a home thats worth less than the note thats on it, but IT WILL COME BACK!! If you get foreclosed on, you damage your credit unnecessarily , can’t buy for another 7 years and lose what you worked so hard for - like your down payment and financial credibility.
To those with big bucks sitting in crypto - cash out and be ready to invest in Real Estate Real Soon.
