Happy New Year
2012 has just barely begun, and already the “experts” in the headlines are predicting yet another ‘down-turn’ in the market. These guys are worse than the weather forecasters.
Real Estate is, in my opinion, a driver behind our economy – not a result of our economy. With today’s low interest rates, people are able to buy homes. As a result, everything from renovations and decorating to furniture and appliance purchases ensue.
As for the prediction of fewer listings this year, think about this for a minute; there will always be certain constants in real estate.
One that is often overlooked (especially by those “experts”) is our increasing number of “senior sellers". Senior citizen’s homes list regardless of market turns or time of year; for the myriad of reasons specific to changes in a seniors lifestyle/life needs.
The supply of these properties will be significant as baby-boomers and their parents’ age. These listings are often put up with a POA (Power of Attorney) as children of the deceased divest themselves of an inheritance – again creating an opportunity to spend - both the POA sellers and the new buyers who will no doubt be updating the home. To quote a Disney film - “and the circle of life begins again”.
Naturally, this year we’ll also see POS (Power of Sale) and foreclosure properties...an unfortunate part of any market reality.
So, with these two scenarios of supply alone, 2012 has the potential of being a great year for real estate opportunities.
Then we’ll have the high-demand areas...the “Keeping up with the Jones’” type areas. Areas which typically boast a Seller's Market and end up selling with multiple offers, and sometimes even over asking prices.
In my opinion (again), the theory of a ‘right’ or ‘wrong’ time to buy or sell is so misleading & essentially flawed.
Buyers should save, and plan to buy when it makes the most sense for their finances. Sellers need to be as judicious and do the same; LIFE doesn’t stop occurring based on Real Estate “Predictions”. Families outgrow their current houses, incomes change up or down, people get transferred in or out – none of this ever stops, nor does it typically get tabled based on the market.
It’s all good news! People will make decisions based on what is or is not realistic & appropriate for their lives and their finances, not based on inflated hopes about what the market will or will not do. This is how I advise & counsel my clients – because the only expert on their life is them.
It is going to be interesting to see how 2012 unfolds...and I am looking forward to it. To read more of my Blogs, visit my .