Definition of a perfect storm according to Wikipedia is: The simultaneous occurrence of events which taken individually, would be far less powerful than the result of their chanced combination. I cannot help but to relate this to the current state of the real estate industry.
How is a time such as this refer to as the PERFECT STORM in REAL ESTATE?
- Interest rates are at its historical 40-year low and remain there.
- Foreclosures are at a 52-year high.
- There are lots of inventory out there. Sellers are more susceptible in accepting offers.
- Investors do not trust the stock market and actively seek a safe place to put money.
- The mortgage industry is cleaning up their act.
It is a good time to be looking for houses. I call it the "Perfect Storm" because the unusual chains of events have come together to create an optimistic economic climate for buyers that I have never seen before.
I get this question asked very often: I want to buy but I'm not sure if the market is at its bottom yet?
My answer is this: "I do not have a crystal ball and I cannot predict what tomorrow or 6 months will be like in the real estate market, but I do know this. If you are financially and emotionally ready to purchase a home or move-up in house, or down-size in home, the Perfect Storm is happening. If you feel that you need to protect your "investment", then let's offer a price that you feel comfortable with - within reasons and see what the Seller plan to take it from there.
And if you have read the above statement, I will stress that you buy and make a decision for your family when you are financially and emotionally ready.
The PERFECT STORM is happening. But it is only PERFECT with my statement above: when financially and emotionally ready.
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