Everyone is very very frightened now with the changes in the mortgage industry and the news media with their constant egging on of the chicken Little's (help the sky is falling th world is ending...and all that blah blah blah). The truth of the matter folks is that the world is not ending. The world for many of us is just beginning. This is the time where people become rich, or at least where people are able to put themselves into a position to retire well. Let's talk a minute about a few of the ‘scary' things that are happening and talk about how they are potential good things for you.
Mortgages are going to be harder to get.
-Ladies and gents this is a good thing. If mortgages were harder to get a year ago we'd have a heck of a lot less foreclosures happening right now. People who were not necessarily ready for a home in the price range they were considering were given all types of money and they were simply not able to handle it. They were not able to handle it because they went into the deal with an unrealistic approach. With the proper research there wouldn't have been nearly as many foreclosures. Things unforeseen do happen, but a majority of the foreclosures were due to unrealistic thinking and a jump on the bandwagon sort of hysteria that always hits in a seller's market. Empower yourself and do YOUR DUE DILIGENCE so that you can cash in while others cash out.
The economy is going down the drain!
-The economy is always going down the drain. It's always in a state of flux, but up or down it doesn't really matter because an educated investor makes money and makes investments no matter what the market is doing. Do you hear Bill Gates worrying about the market? Or Warren Buffet? No you don't. And you don't because they simply do their due diligence and continue to make smart educated decisions. I'm not saying that now is the time to buy a home, but if buying a home is 6pm...it's about 545. You need to stay abreast of what is happening in the economy and stay tuned to changes in our WORLD.
I want to wait for the market to bottom out.
-The only way to know when the market has bottomed out is to see it rebound. This means stop being greedy, and get out of your own way. That's 'stinkin thinkin' right there. Get over yourself do your research and get busy livin! I mean stop being greedy. You're greed will make you miss it.
My home's value is dropping as we speak.
Your home's value is not dropping. Ladies and Gents this is a big misconception. Your home is worth what you paid for it...that's it's value to you, then it has a value in the market place, what someone else will pay for it. For you to lose money on your home you would literally have to sell the home for less than you paid for it (or less than it's cost for you) and realized a loss. If you have purchased your home within the last year then stop looking at it's value! You will need to hold it for at least 5 years to realize an appreciation and if you hold your home for five years and do not realize any appreciation then think of the tax benefits you've received the time you've lived there and hold it some more.
Again as I advise all of my clients you must look at things dispassionately. This is how wealthy people remain wealthy.
The truth of the matter is that you need to stay informed. Read the articles yourself. See them at my website. The truth of the matter is that there is no need for you to panic, but there is a reason for you to contact a Realtor. And interview many Realtors. You must be sure that you have someone who is not a yes gal/guy and someone who will talk to you and give you the truth. I will tell you if it is not in your best interest to sell now, or if you are in a position to buy now.
What you need to do is meet with me and as many realtors as you can. You must do your research, or find a qualified representative to do it for you. Hang tough folks like I said those of us that survive will be nice and chubby on the other side!
It's just like when we were kids. The dark is scary, until you understand that there is nothing inherently scary waiting for you in the dark. You simply need to memorize the layout when the lights are on and you're fine. Well it's the same for your financial well being.
I'll talk with you soon!
Yours truly,
The People's Realtor
Ray Wilburn,MBA
phone: 425-387-9111
email: RayWilburn@kw.com
web: www.RaymondWilburn.com
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