All of my clients, neighbors, and friends are asking, “Chris, has the market cooled enough to buy.” Or “Is it too late to get top dollar for my home?” The problem with timing a real estate market is that no one can predict the future. So, no matter how well you know your real estate market you just can’t time it. There are just too many external factors that go into a real estate market shift.
I have been in real estate for a long time. I don’t know how many times over the last 7 years I have heard “I’m not buying at the top of the market”. I thought it myself, but how flawed was that thought process? The gain in real estate values over the last 2 years alone is quite substantial. What I can tell you is this, “real estate has always gone up. It is just a quotient of time. I started investing in real estate fresh out of Graduate Business School. I felt like I invested as much as my somewhat conservative CPA education allowed. But hindsight 20/20…I wish I would have leveraged myself more and bought more of it. That is for certain. One thing I know is that real estate has been the biggest wealth builder I have done for my family. I believe in the product I sell as an investment vehicle.
So even if we think we may be in a real estate market transition, no one has a crystal ball to time it. This is why I always say: “The best time to buy real estate was yesterday, so you better get to it.”
But here is my practical advice for my buyers and sellers:
If you’re thinking of upgrading to a bigger or more expensive house, it’s actually a great time to be in the real estate market. While you may get less for your current home than you could have just a few months ago, you’ll benefit from potentially lower prices, less competition or better selection on the larger investment in your new home.
Great neighborhoods in our area have always seen growth over time, and many of them actually really saw no loss of value even in the last real estate recession in 2008.
On another note, Real estate is also one of those investments, unlike cash savings, that you can actually use to protect your wealth during high inflationary periods, like we are currently seeing.
Interest Rates
Let’s talk for a minute about the other elephant in the room - Interest Rates! Unfortunately, we are now in a period when interest rates are increasing. That means the longer you wait, the more it will cost you for that home if you plan to get a mortgage.
Remember, no one can time the market so don’t even try. The right time to sell or buy is when the timing is right for you and your family. Everyone’s situation is different. That's why sitting down and discussing your family's real estate goals with an experienced real estate advisor is so important. Like I said earlier “ “The best time to buy real estate was yesterday, so you better get to it.”
What are your thoughts?
Text me at 704.619.8594 and we can set up a time to discuss your goals.