is now a good time to invest in real estate? is it a good time to buy and hold or buy and sell?
is now a good time to invest in real estate? is it a good time to buy and hold or buy and sell?
It is always a good time if you plan to buy and hold (as long as you buy right).
But really... its very dependent on your area, most areas are going down in price so it may not be the best time to buy and hold... it also depends on what you want to achieve... let us know and we may be able to give you a more specific answer!
Real estate is great and always a good investment when you buy well. The current risk lies in the mortgage industry. That is now rebalancing almost too much. But real estate will always be a good investment. At the moment your very best strategy is to purchase property in good condition that will cash flow at ratios acceptable to you. Maintain And hold the property. The mortgage crisis will clear when it clears and you will have an nearly certain appreciating and cash flowing asset.. remember " They aint making no more real estate" . That creates scarcity and inherent value. Columbus Ohio is also currently one of the better investment markets with large volume foreclosures, high REO inventories, and a firming rental market (because of the displaced home owners).
Real Estate is very local. Past performance is no predictor of the future !
I would always look at geographically confined areas to invest in. Those areas have the best chance of having limited supply with decent demand.
Look at Houston. That place is spread out so much and if prices get too high they just build further out. Appreciation will be hard to get to in that kind of place.
Then on the other extreme take Aspen (just an example) No more space to build, high demand, long term appreciation potential.
Find your Aspen out there.
And then there's the Bay Area....
Lots of land for development...prices are high too... :violin:
Its a bit of a Hail Mary though!