seems like everything is EXPENSIVE these days.
Do you think things will get less expensive or more expensive in the coming months/years?
I’m betting on MORE expensive. Here we are at what many folks are calling the “the bottom” of the recession.
Reports are that home ownership affordability is at a very appealing level . . . that buying a home in today’s market is more affordable based on other costs of living and relative incomes.
so . . . this is a great time to consider buying a house.
Why is now such a great time?
Because the next iteration of the economic cycle is (this is a dirty word):
This means that the cost of things will be going UP which means that the dollars you earn will buy less stuff.
so . . . we’ll all either have to start buying less stuff or make more money.
A good part about this is that inflation provides more money flow and leads to more job creation and as long as the economic cycle behaves it has in the past will create a period of PROSPERITY.
The “experts” say this will come about slowly and that we’ll experience some dips along the way.
While it’s a lot of fun for us to theorize the future based on trends and patterns from the past, we all have to keep the element of surprise top of mind.
What do we do if . . . ?
So . . . This is an invitation for you (all of us) to stay tuned to our personal cost of living. quit worrying so much about they say on the news. Let’s focus more on what’s happening at home.
Things to consider:
- Know your family BUDGET!
- Have enough “liquid assets” in the event of an emergency
- Maintain the quality of life you wish to have
For me, this becomes a game – Once the budget is set, the game becomes one of getting MORE enjoyment (and stuff) out of the allocated budget even in the face of increasing expenses (inflation).
So we think of creative ways to travel less expensively yet have just as much fun . . . or put something in the mail rather than driving across town to deliver it . . . or coordinate our errands so we get more done with less driving . . . or planning when and where to buy gas rather than just paying whatever price we have to pay when we run out.
I always think of things like this as we slide into the 4th quarter of the year in preparation of the next year.
and I always come to some of the same conclusions.
“Buy LOW and sell HIGH!” is a formula that’s always been the “right” answer for an investment strategy . . . which circles us back to buying HOUSES.
NOW is the time to BUY real property LOW (houses) to have and hold until years later when values are high.
Whether it be investment rental property, a second home, or an up-size or down-size of the family home, the time is right NOW for you to take action.
Just contact me if you’d like to get together to explore possibilities for your own real estate investment strategy. I’m poised and ready to serve 🙂
Happy Monday Morning to ya!