Perspective From Broker
The Market: I am sincerely worried we are in for an epic sh** storm. I realize that my opinion and the stories I have shared of late are not all positive and self destructive to my own business in the short term. I realize I am in the minority of my opinion and that many of the fellow agents I interact with and see in social media groups do not share my opinion. All is good they say. However, I survived this industry for 32 years by not always spinning a one sided sales pitch, but stating what I fervently believe to be the truth. I spent many years after the last crash begging hundreds of you to buy and buy big. Many of you did so and have become lifelong friends, as well as, padding your bank accounts and balance sheets. For more information visit: automicdwelling.com
However, I see multiple warning signs on the horizon that have literally started to affect my sleep. I woke up again at 4:00AM with the hair on the back of my neck standing straight up. Things don’t smell right. To be fair in the long term even after recessions, wars and market crashes those of us that live recover….well many of us do…..prices bounce back and dancing like it is 1929 resumes. But timing markets still matters….Search for homes at: http://rehava.com
There are many for which the current price structure might be less significant. For example, if you are elderly with heirs or do not intend to will your estate then find your dream home, if you can afford it and screw it. There are those of you that have a considerable wealth accumulated and for you; screw the cold and whatever else you are complaining about and go for your dreams. None of us enjoy the money pre or post life. There are those that are buying in this crazy market, but you are also able to sell your home for Bat Sh** Crazy money….again…..you still have to have a home to live in so the pricing is relevant to your trade up down or sideways….For you, it might make sense to buy if you are in it for the long term. There are even those of you that get lucky once in a while and find a steal even in this market.
Opportunities in High Markets
Even in high markets there are always opportunities. There are even a few of you that are corporate relo’s coming into our market with an offer or sign on bonus, too good to be true. For you, if renting which is also an insane proposition presently, buying might be still the best option. Risk-Price-Reward analysis must be carefully weighed. Even within the market there are many micro markets and tiered price points within each market that behave a bit differently. There are still a select group of emerging geographic markets here in Florida where I believe pricing is below its long term potential. Crystal River is just one example. However, there are the rest of you. You are not meant to be a derogatory catch all bucket by the way. If you are a first time buyer with little or no cash and you do not have a home lined up….I have one wonderful lady right now we are so close on…..You either need to borrower or be gifted the money from your rich or generous relatives or it might be better to sit this hot mess out for a bit. You are losing the battle right now to the cash in hand Metro New York and or Ca buyer. That doesn’t mean you will lose the war. You are a young investor looking for your next flip….Again deals always happen but you are way late in a market cycle and to the party. You might take a deep breath and wait patiently as there will be meals to catch. You might be a professional couple who sold your northern home for a pile of money or cashed in on your xyz coin and finally feel like spoiling yourself…or, it’s ok to be patient…..You don’t have to buy now because everyone else up north is doing it. Rentals are still available yet at crazy prices, but let’s say you pay 1k a month too much. Let’s say that you have to do so for 24 months so you are out 24k…..If we got even a small market pullback you would lose far more than that in the “market.”?
Credit: John Desautels – Broker Colorado & Florida
I am an active Realtor specializing in the Douglas County /El Paso County areas. I have experience listing and selling residential properties throughout Douglas County including: Castle Rock, Parker, Highlands Ranch, Franktown, Sedalia, and Larkspur. I am currently expanding my business to; Black Forest, Monument, Colorado Springs, Peyton, Falcon, Woodland Park, Divide and Cripple Creek.