I know the news media has a lot to say about the real estate market. Now, let's get some truth to the subject. The market in the Baton Rouge area is starting to get rev'd up for '08! One of my litmus tests as to the amount of activity in the market is the number of hits our real estate websites receive. Generally these sites have less visitors in November and December and most of the visitors are in April. Well, I am certainly seeing quite a few buyers visiting the site since the 1st of the year.
The problem with the market in 2007 is that we all got used to a super fast, super rev'd up real estate market. Few agents adjusted their business pratices to account for a slightly slower market. Let's compare '05 and '06 to the speed at which the cars on the Indy 500 travel. '07 was more like the speed at which we drive on the Interstate. That's not slow! That's just slower than we were used to. The market is still very healthy. If you are considering a move, it's a great time to do so. Just yesterday I got an email about interest rates for a 30 year fixed rate loan at 5.75%. So, you see, the rates are still good (contrary to what you might hear on the news).
2007 was a year in which our market moved from being such a super charged market to a more normal market. That is where we sit now - a normal market. There are buyers and sellers out there. Real estate values are higher than than have been and are expected to continue to rise throughout 2008.
The truth of the news media is that there are some lending changes that we will experience in 2008 which may make some loans more difficult or impossible to find. It definitely helps if you have 5% to put down instead of hunting around for 100% loans. Or you might consider an FHA loan and put down 3%. If you are considering a move in 2008 and are short on cash, start saving up! You can do it.
If you are not sure about making a new purchase this year or where to invest your money, the National Association of Realtors has some great housing statistics that may help you make your decisions. Here's a great point to note: On average, the value of a home nearly doubles every 10 years! Knowing this, a great way to save up for your child's college fund is to buy real estate. Get more great facts at www.HousingMarketFacts.com.
If you are considering a move in the Baton Rouge area in 2008, now is the time for you and I to talk.
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