We all understand that prices appreciate, sometimes slowly and sometimes quickly. Most industry watchers do not think our housing markets will appreciate very quickly for the next several years. Most of us in the industry prefer slow steady improvement to a roller coaster type of ride. 5% appreciation per year sounds good enough.
So is there any reason to hurry? Yes, because certain price ranges and types of properties can go through a quick correction. If certain sectors were unnaturally depressed, then we might see buyers come back in the market at higher prices because the intrinsic value is there and the future risk is low. Vineyard properties seem to be such an example. Plantable ground has not sold well for over 5 years, but the future of our wine industry keeps getting brighter. In 2012, we had a number of sales at amazing prices, as if we never had the depreciation we all assumed was there. This is a correction which can be sudden and shocking. With a correction, the opportunity is lost and the regret is severe.
What We Are Here For…
Too often Realtors® are viewed as “just sales people getting customers to purchase our wares”. For some reason, buyers think their relatives, the New York Times, or some distant infomercial guru, knows more about local conditions in real estate than we do. The reality is that we do not have customers; we have clients for whom we work. We are not selling a product line for a company; we are working for clients and advising them how to achieve their goals with less risk and better reward. What our clients buy is their decision, not something we are pushing. We get paid when they achieve their goal regardless of the choice. We advise clients based on our industry knowledge, our depth of experience, and hard data from the local markets. One of our greatest frustrations is watching clients make bad decisions because someone out there thinks they know more than we do. We are not perfect but we are expert in what we do.
Could something worse befall us economically? That answer is always, “yes”. However, without speculating on what we do not know, the current data, and our experience, tells us that this is an historic opportunity for buyers that soon will be gone perhaps for a generation or more. If you are going to buy real estate, do it now; we do not believe you will regret it. Of course, get good advice on the particular property and guidance in avoiding serious mistakes.
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Best regards,
Randy
Randy McCreith, Principal Broker
Bella Casa Real Estate Group
Cell: 503-310-9147 Fax: 866-281-6653
Randy@TheBellaCasaGroup.com
Published on: Apr 10, 2013