Real Estate Is A Long Term Investment….It’s Not Day Trading!!
One commenter yesterday challenged my statement that this is a good time to buy new construction because resale homes are selling; interest rates are low; the price of new homes is at an all-time low; and builders are including many upgrades in their standard spec package. The commenter asked what would happen to home prices when interest rates reach 10%.
Buyers need to understand that buying a home is not like “day trading.” Buying a home is a “long term investment.” If one is planning on selling that home in a year, that homeowner will take a loss. If the new homeowner is thinking that he/she will be transferred within a short period of time, expect to take a loss.
If a homeowner has a resale home to sell, and that homeowner’s dream is to own a new home and live in it for decades, now is the time to make that happen. Resale homes are in demand in my area. We have a shortage of fresh inventory. Interest rates are incredibly low.
This is the time to buy a home that your family will live in for many years. This is the time to buy and settle in for the long haul. Real estate is a “long term investment” and the best time to invest is now with low prices and low interest rates. It’s a no brainer.