The Facts versus Hype in Real Estate in the United States
When talking about real estate and property ownership in the United States, there is a common fear among home owners and real estate investors that we are upon a real estate market crash within the next decades. Already proving that no market can continue to expand and increase in value forever, San Francisco and Las Vegas have seen recent dips in property values over the past two years. While many home owners and ’self-made’ investors are calling fowl by banks who were offering ‘too good to be true mortgages’ and selling off their properties at a loss, many savvy real estate investors know that in any type of market (either boom or crash), there is money to be made in the long run.
Real estate over the past decade in the US has seen many ordinary people become millionaires by banking on capital gains over a short term. Many people purchased pre-construction condos and real estate homes and townhomes and flipped them in the hot market. This is no longer possible, as many of the major markets and cities in the United States are now flooded and saturated with properties for sale, and with higher interest rates and borrowing rates, this has lead to a steady decline in real estate home and condo sales this year. It is important to note that with proper research and planning, real estate investment is one of the safest investments out there. Again, in any type of market, there is always need for condos, residences, townhomes, resort properties and other type of homes, and the key is to find undervalued homes and making sure that cashflow is either positive or even so that you won’t over burden yourself once rates hike even further. In summary, real estate including pre-construction, under development and more established homes are still opportunities for investment even though everyone is still talking about a big real estate crash in the coming years.
Source: urbanlivingcondos
