We are referring to the nation's largest markets. In the case of Detroit with prices at pre 2000 levels, there is nowhere to go but up! These are January to February 2011 numbers. Good news if you live in Detroit. D.C. was the only area that had year over year increases of 2.7% but a decline from January to February of 0.1%.
Housing has not been as affordable as it is now in a very long time. I am perplexed by the number of potential clients that I have spoken with who plan on being in the area at least four to five years, have good credit, but still insist on renting at a higher cost then if they had purchased that same home.
Despite the 2006 debacle, it is a known fact that home ownership leads to wealth. Multiple home ownership, or being a landlord, can make you wealthy very quickly. Being a renter in most cases will not. There are some exceptions. I had a client who owned two homes in So. Cal but rented in D.C. for a year or two before being transferred back to California. That makes sense plus they own property in hot (I am referring to the real estate market) Southern California, specifically L.A. and San Diego.
If you are reading this and are wondering whether you should rent or buy, I would be glad to sit down with you and go over all of the pros and cons. I am a real estate agent and I am a landlord. Nothing pleases me more then when one of my tenants wants me to help them purchase a home of their own.
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