A savvy manager at one of the offices I freelance at sent around this great article written by Shawn Tully, Senior Editor at Large, who has been making calls since 1880 with pretty good success. This article entitled, Real Estate: It's Time to Buy Againposted March 28th, makes a simple but strong point. He says, " Forget stocks. Don't bet on gold. After four years of a plunging home prices, the most attractive asset class in America is housing."
Tully interviews Sam Castleman, the 70 year old founder of MetroStudy who claims, "I'm a dirt-road economist who sees what's happening on the ground, and in 35 years I've never seen a shortage of new construction like the one I'm seeing today," Castleman;s take is that the freeze on new construction is going to force prices on existing housing stock to rise.
I remember back in 2003-4 when investors were buying real estate for their IRAs and doing really well. Then the market became overheated, too many investors, too high prices, not enough buyers and we all know what happened. My question is this. Is it time to start investing again? Wall street wisdom is you buy when the market is down and sell when it's up. So.... maybe it is time to send this article out to all of your buyers and see who wants to fish.
So when you have your next buyers out, you might show them this article and if If Mr. Castlleman is correct and the graph on the right is accurate, looks like, just maybe we've hit bottom and are beginning to trend upward.
Comments(0)