We've probably all said or at least thought "if I knew then, what I know now, I would have done things differently." We should have stayed in school longer. We should have listened to our parents. We should have bought Apple stock in 2002 for $8.50 or gold in 2000 for $300.
Years from now, if we look back at 2012, it may be clear that this was the best buyer's market ever. The prices are down nationwide 35-40% from four years ago, mortgage rates have never been this low and rents are rising. Few homes have been built in recent years to keep up with a growing population. There may never be a better time to buy homes than now.
The housing affordability index which is considered to be good at 100 has increased to over 200 for several months. Shrinking inventories and rising prices in some markets are causing the index to fall for the first time in years. In Lake Havasu City, AZ today, we have only 460 active single family home listings on the market. This is about a 1/3 of where we were 5 years ago.
This 'buying" opportunity applies equally to acquiring a home to live in or to rent as income property. It is estimated that about one-third of the homes purchased last year were done by investors. It is reasonalbe because the positive cash flows far exceed most other investment alternatives.
The question we're all faced with this year is whether we'll be saying we seized or missed an opportunity of a lifetime.
Lori Dee Doerfler, Associate Broker
RE/MAX Prestige Properties
(928) 208-9827 Mobile/Direct
"Serving the Lake Havasu City Community”