As I’ve shared in the past, my wife and I built our dream home about 3 and a half years ago…right at the height of the housing bubble here in Michigan (and across the US for that matter). Hind sight is always 20/20, but it sickens my some days to think of how many beautiful homes I could be buying TODAY, ON THE CHEAP, had I not went “house crazy” at the ripe old age of 26? We have a beautiful house that we will enjoy for years to come, Blah, Blah, Blah, is what we keep telling ourselves. This is fine, you live and learn! But the bottom line is that I dumped WAY too much of my dry powder into my home. If I had that cash now I can think of 5 places I would buy in a HEARTBEAT today for 75% off their rebuild price.
I tell you this story becuase I know there are some of you out there who are wondering if now is the time to buy your first home or to invest in foreclosures or whatever. I’m just saying that if I had a couple hundred grand liquid to invest for the long term, I’d be snatching up some of these deals in a minute. The demographics of the United States support my theory. Our populations is still growing at 1% or more per year. These fine folks are going to need a place to live. Supply and demand seems to suggest that values will be sightly higher in the future.
YOU ALWAYS MAKE YOUR MONEY ON THE BUY SIDE OF A TRANSACTION.
So knowing when to buy is very important. Now may be the time, I don’t know. But depending on where you live, it might make sense to talk to an expert and see if there are opportunities in your area!
Good luck, and do as I say, not as I do…because I probably moved into my house on the VERY DAY that the housing bubble burst! Crazy stuff. I thank the good Lord that we weren’t trying to FLIP anything. We would be up the creek baby!!!