It's raining across the nation

Imagine having a weather forecaster say it is going to be cold and rainy across the nation.

You would probably go, huh? It's supposed to be sunshine and warm in my hometown.

Now think about economic forecasters who are saying it will take six months to a year for the housing market to recover everywhere across the nation.

Doesn't make a lot of sense does it.

Real estate markets like the weather are local in nature. For instance while many parts of the nation were seeing a decline in housing prices the five boroughs of New York were going up in price.

Its all simple economics of supply and demand.

So what does this mean to the consumer looking to purchase a home? Don't be confused by national trends.

Look at the market you want to move or invest in and look at what is happening there.

Florida is a good example of shifting markets. Generally speaking coastal community prices were going up like a rocket for several years. We're in the other end of the cycle now going down.

It doesn't take a rocket scientist though to figure out that when a lot of the population either nationally or internationally want to vacation or retire they want to be near or on the coast.

At one point the cycle will start to reverse and the snowbound will be looking for warmer digs.

So this means that if you looking for coastal community investment start looking at the local market you want to be in, not the national statistics.

If you see a flattening out trend in that local market in prices that probably means that the downturn is over and prices will start rise again soon.

You probably want to buy before the prices stabilize and definitely before the turn in order to get the best value.

You don't want to be trying to guess the bottom or you'll get stuck like the investors who were trying to guess the top and get caught with properties they are now trying to sell at a loss.

All the best
Greg Owens PA
Keller Williams of Greater Manatee
941.779.5149