Like any aspect of life, if you focus on the negative, you will reap negative results. Our perception of the housing market is no different. The fact that the housing market is still slow can be a negative, or a positive depending on your position in the real estate market. For real estate investors, the market as it is combined with the still-low mortgage interest rates make for a prime shopping venue for savvy real estate investors.
In a recent Market Watch article in the Wall Street Journal, Jim Woods concluded, “One reason your best investment right now could be a home has to do with the relative upside of getting in on an asset class while it’s at the bottom versus buying into other asset classes that could be near a top. Consider for a moment the tremendous upside we’ve seen in stocks, precious metals and agricultural commodities over the past 12 months…
If you’re a long-term investor looking to put money to work, now is not really the best time to get into any of these three asset classes. However, with home sales starting to improve, and with prices now possibly forming a bottom, real estate could well be the asset class that represents the best low-risk buying opportunity out there today…”
Think about shopping for your favorite designer or label. You love the quality, but the price can tend to leave you a bit disappointed. Well, the houses that make up the inventory in this housing market are still the same high-quality homes and properties. Their current low prices don’t affect the soundness of their construction or the vision put into their design. It simply means that today, they are less expensive of an investment than they will be tomorrow.
Feel like shopping? If you live in the Connecticut region and are interested in investing in some prime properties with small-sticker prices, give me a call.
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