Is It Time to Invest in Real Estate?
Real estate has been a rocky road during the past decade, but no one should really shy away from it now at this point.
The market has changed a lot so depending on when you are investing the risk factors can change significantly.
As of right now, it appears that the market is at its lowest risk.
Why is that? Housing prices are at an all time low.
In some market, like in Las Vegas, market has dropped almost 70% in values.
That means a 300k home in '06 now is less than 100k.
That is a very drastic change.
But think about it, if you were investing now instead of '06, how cheap did the house just become! Obviously, this trend won't last too long.
In 2012, housing prices are trending up.
Some say it is because of the inventory shortage.
Others say many people are flocking to invest.
Which one do you believe? Nevertheless, now it is the time to move.
Don't hesitate! Of course, some of the roadblocks include difficulties in getting a loan.
And that is sort of true.
As of right now, it is extremely difficult to get a loan for a house if you have bad credit.
Furthermore, many people are undergoing short sales and foreclosures.
Surely that does not bode well for these people.
But many credit programs are now working with these former homeowners to get them a place.
Imagine how horrifying it is to see the opportunity of a lifetime to invest but cannot participate.
That is why currently there are a lot of cash investors taking up the opportunity to invest in real estate.
Competition is starting to get fierce as investors from all over the world are coming in to snatch whatever homes they can buy with all cash.
Not to worry though.
The market is expected to stay stagnant for another several years.
So those former homeowners who could not get a loan should come up with a solid plan on how to build their credit and job history to get a loan.
Hopefully underwriting standards will become less stricter as time goes.
On the other hand, once the bank starts lending to everyone it is highly that the prices will come back up as there are a lot of demand.
So if you are considering investing in real estate and also have the credit and job history, it is highly recommended that you get started.
The market has changed a lot so depending on when you are investing the risk factors can change significantly.
As of right now, it appears that the market is at its lowest risk.
Why is that? Housing prices are at an all time low.
In some market, like in Las Vegas, market has dropped almost 70% in values.
That means a 300k home in '06 now is less than 100k.
That is a very drastic change.
But think about it, if you were investing now instead of '06, how cheap did the house just become! Obviously, this trend won't last too long.
In 2012, housing prices are trending up.
Some say it is because of the inventory shortage.
Others say many people are flocking to invest.
Which one do you believe? Nevertheless, now it is the time to move.
Don't hesitate! Of course, some of the roadblocks include difficulties in getting a loan.
And that is sort of true.
As of right now, it is extremely difficult to get a loan for a house if you have bad credit.
Furthermore, many people are undergoing short sales and foreclosures.
Surely that does not bode well for these people.
But many credit programs are now working with these former homeowners to get them a place.
Imagine how horrifying it is to see the opportunity of a lifetime to invest but cannot participate.
That is why currently there are a lot of cash investors taking up the opportunity to invest in real estate.
Competition is starting to get fierce as investors from all over the world are coming in to snatch whatever homes they can buy with all cash.
Not to worry though.
The market is expected to stay stagnant for another several years.
So those former homeowners who could not get a loan should come up with a solid plan on how to build their credit and job history to get a loan.
Hopefully underwriting standards will become less stricter as time goes.
On the other hand, once the bank starts lending to everyone it is highly that the prices will come back up as there are a lot of demand.
So if you are considering investing in real estate and also have the credit and job history, it is highly recommended that you get started.
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