The crystal ball, a.k.a. computer model
Where is the real estate market headed? Lately, the consensus is that the market is cooling. Some even predict major price reductions in the near future. The problem with predictions is that the only data available was in the past and there are dozens of variables that can influence the future. One thing we know for sure is that the market has a tendency to go up and down in cycles, and prices almost always go up over long periods of time. Therefore, it’s good to have both a short-term plan as well as a long-term plan. You can make money in any market if you plan ahead.
Vacation rentals (VRs) are the new rage in real estate. Unfortunately, the hotel industry doesn’t like the competition and neighbors worry about the unknown. So, city councils across the country are finding it easier to just ban them (not entirely, but essentially keeping honest investors out of the market). Well, there’s a new ally in town – apartment and condo buildings. They are discovering that it makes sense to 1.) VR empty units until they rent long-term, and 2) Allow owners to VR their units in order to make living there more affordable. It can’t hurt the little dogs to have a few big dogs on their side. Looser restrictions should apply across the board.
QUOTE OF THE WEEK
“Youth is the gift of nature, but age is a work of art.“
~Stanislaw Jerzy Lec
See you soon,