Why can you be confident in today’s real estate market? Here are two reasons:
Reason #1:The current housing market is behaving the exact opposite of what happened in 2007-2008. It has flipped. Right now we have many qualified home buyers with strong credit scores who want to buy homes, but there is a shortage of homes for sale. That is the opposite of what happened back in 2007-2008 when there were way too many homes and no one wanting to buy them. This makes the market very stable. Again, this is the opposite of the conditions that created the 2008 housing crisis!
Reason #2:Interest rates are at historic, all-time lows. Many home buyers have recently qualified for a 3% rate on their mortgage. When you factor in inflation, that’s almost free money! I’m not a financial advisor, but everyone agrees mortgage rates are incredibly low right now. That’s why so many people are refinancing even if they don’t plan to actually move.
Be confident! Real estate is a stable, long-term investment.