They are BORED with us! Can you imagine! The US housing market is the acknowledged solution to the ENTIRE world’s economic crisis and they are BORED with us! How do I know this, you ask? They bought GM today. Or, more correctly WE bought GM today.
Now, I am not here to talk about whether this is right or wrong. Franky, I don’t know and I don’t care. All my energy goes to caring about one thing and one thing only…REAL ESTATE. Now I know that seems irresponsible to some of you but I’m only one person. I have friends, family and clients that I care about and for whom I MUST protect my time and my energy.
I voted, like I HOPE everyone else did, and my expectation is that those who won election will do what we HIRED them to do and make the right decisions for our country. As for me, I can only do what I am good at and that is REAL ESTATE.
Now before you say I am abdicating my responsibilities as an American or just being naive, let me promise you that I do pay attention to current events and politics. I know what they are doing and from my distant, spectator seat I am disgusted. I want “THEM” to make decisions that will move us forward and, frankly, put my Sep IRA back on track. Being a realist I am fully aware that this is the problem many of us have and the only answer right now is for me to work hard, really hard, to rebuild my retirement. And, don’t get me wrong, I am grateful for A LOT!
So what does GM have to do with this? Everything. The government has moved on…moved on to the next problem on the laundry list of our shared issues. We have gotten all the help we can expect from the government where housing is concerned. They are done with us. They gave us an $8000 tax credit to get first timers (or something like them) into the market. They have held interests rates down artificially for quite awhile …why… because a healthy housing market is fueled from the bottom up. If new folks aren’t coming into the market, nobody can sell to buy up, right?
So what happened last week when it was OBVIOUS that GM would go bankrupt and we would buy them? Hello. Interest rates went up. There is only so much money to spread around and we’ve had our chance. There is no more. Interest rates are going up and we need to work with what we have. I’m cool with that. Really. The great majority of my career has been when interest rates were over 9%...sometimes really over 9%. We have gone from a home affordability index that allowed 50% of folks to get into the housing market to an affordability index that allows 75% of folks to get into the housing market. How bad can that be?
So now, it’s all about me… me helping sellers to understand how they can succeed in this market and me, helping buyers to understand how to profit in this market. It’s pretty simple. Sellers have to PRICE right and Buyers have to understand the COST of buying. What else is there? I mean now that GM is my latest purchase, what else can I do?
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