Definition of a perfect storm according to Wikipedia is: The simultaneous occurrence of events which taken individually, would be far less powerful than the result of their chanced combination. I cannot help but to relate this to the
current state of the real estate industry.
How is a time such as this refer to as the PERFECT STORM in REAL
ESTATE?
- Interest rates are at its historical 40-year low and remain there.
- Foreclosures are at a 52-year high.
- There are lots of inventory out there. Sellers are more susceptible in accepting offers.
- Investors do not trust the stock market and actively seek a safe place to put money.
- The mortgage industry is cleaning up their act.
It is a good time to be looking for houses. I call it the "Perfect Storm" because
the unusual chains of events have come together to create an optimistic economic climate for buyers that I have never seen before.
I get this question asked very often:
I want to buy but I'm not sure if the market is at its bottom yet?
My answer is this:
"I do not have a crystal ball and I cannot predict what tomorrow or 6 months
will be like in the real estate market, but I do know this. If you are financially and emotionally ready to purchase a home or move-up in house, or down-size in home, the Perfect Storm is happening. If you feel that you need to protect your "investment", then let's offer a price that you feel comfortable with - within reasons and see what the Seller plan to take it from there."
And if you have read the above statement in the heart of its content, you will not that the stress is placed on your buying decision for your family when you are financially and emotionally ready.
The PERFECT STORM is happening. But it is only PERFECT with my statement above: when financially and emotionally ready.
